Philadelphia Man Charged In Fraud Involving Dead Sister's Annuity

PHILADELPHIA – Charles Spencer, 81, of Philadelphia, PA, was charged today by information with mail fraud in connection with the theft of approximately $230,400 from an annuity, announced United States Attorney Zane David Memeger.

According to the information, Spencer became the guardian of his sister, V.R., and her affairs when V.R. became infirmed.  V.R. was receiving monthly payments of $1,600 from an annuity.  She died on January 22, 2001 but Spencer, it is alleged, did not inform Lincoln National Insurance Company (LNIC), which disbursed the annuity payments.  LNIC continued to send monthly annuity checks payable to V.R. which defendant Spencer allegedly received, countersigned, and deposited into his bank account.  It is alleged that Spencer received approximately 144 annuity checks, totaling approximately $230,400.       

If convicted the defendant faces a statutory maximum sentence of  20 years in prison, possible restitution, a fine of up to $250,000, up to three years of supervised release, and a $100 special assessment.

The case was investigated by United States Postal Inspection Service and is being prosecuted by Assistant United States Attorney Floyd J. Miller.

An Information is an accusation.  A defendant is presumed innocent unless and until proven guilty.