Ashland man sentenced to prison for representative payee fraud

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LEXINGTON, Ky. (WYMT) - An Ashland man was sentenced on Friday for converting funds for personal care patients to personal use.

Michael Allen Artrip, 68, was sentenced in a federal court for unlawfully utilizing representative payee funds, which were received on behalf of individuals living in the Artrip Personal Care Home in Ashland.

Artrip admitted in his plea agreement that, in his role as part-owner of Artrip Personal Care home, he received representative payee benefits from the Social Security Administration, on behalf of certain individuals living in his personal care home.

According to the plea agreement, between November 2013 and November 2017, Artrip received representative payee funds for more than twenty individuals.

Artrip received a total of $241,142 and he admitted to spending a total of $97,806 of those representative payee funds on expenses unrelated to the use and benefit of the beneficiaries, including on his two rental properties and personal farm.

Artrip pled guilty in August 2019. According to the plea agreement, he agreed to pay $97,806 in restitution to the victims. Pursuant to the plea agreement, Artrip also agreed to sell the personal care home and withdraw as the representative payee for current Social Security beneficiaries.

Artrip was sentenced to 13 months in federal prison. Under federal law, he must serve 85 percent of his prison sentence and will under the supervision of the U.S. Probation Office for three years.

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