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Thursday, November 14, 2024

Missouri business owner sentenced for Social Security fraud and perjury

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U.S. Attorney Teresa A. Moore | US Attorney - Western District of Missouri

U.S. Attorney Teresa A. Moore | US Attorney - Western District of Missouri

A former resident of Harrisonville, Missouri, has been sentenced in federal court for Social Security fraud and perjury. Michael Sylvara, aged 39, currently residing in Ozark, Missouri, was sentenced by U.S. District Judge Roseann A. Ketchmark to two years and three months in federal prison without parole on November 6. He is also required to pay $42,369 in restitution to the government.

Sylvara co-owns Volleyball Beach Ozark, a large indoor sand facility, and holds a real estate license. On March 23, 2023, he was found guilty of one count each of Social Security fraud and perjury.

Initially indicted for Social Security fraud due to his handling of his disabled father's benefits from 2016 to 2019, Sylvara converted $42,369 of these funds for personal use. During an October 2022 trial that ended with a hung jury, Sylvara testified in his defense.

Following this trial, a superseding indictment was issued on November 17, 2022. This included the original charge and added the perjury charge against him.

As his father’s representative payee before his passing, Sylvara was supposed to allocate all benefit payments for his father's needs. However, evidence presented at trial showed he used some funds for personal expenses like utility bills and student loans over a span of 30 months.

Testimony during the October 2022 trial revealed that basic necessities were bought for Sylvara’s father by a witness who wasn't reimbursed. The witness noted that Sylvara's father subsisted on minimal food items such as water and bread and was seen eating cat food.

During the same trial under oath, Sylvara falsely claimed having an agreement with the Social Security Administration allowing him compensation at $14 an hour for caregiving duties. Investigations confirmed no such agreement existed.

The case prosecution involved Special Assistant U.S. Attorneys Bradley Cooper, Amanda Hanson, and Courtney Pratten following an investigation by the Social Security Administration.

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