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Auburn woman indicted for using fake cancer claim to bilk man of $400,000

An Auburn woman could spend as many as 25 years in prison for carrying out what U.S. attorneys claim was a wire fraud scheme against an elderly Auburn resident.

Between May 2009 and September 2012, according to the indictment announced Monday by U.S. Attorney Jenny A. Durkan, Julie Ann Dahlquist, 51, convinced the Auburn senior to support her financially by claiming the money was to pay for treatment for cancer that she did not have.

Police arrested Dahlquist Monday afternoon following her indictment. She appeared in U.S. District Court in Seattle Tuesday.

According to the indictment, Dahlquist told her elderly victim that she had been diagnosed with cancer and had no medical insurance or any money for treatment. The victim, concerned for Dahlquist's welfare, wrote her checks to pay for the non-existent treatment. The victim wrote checks for as much as $9,000 about three times a month, in all 190 checks for more than $400,000.

The indictment alleges that Dahlquist used the money for gambling and other expenses.

In addition to wire fraud, Dahlquist has been indicted for Social Security fraud. The indictment charges that she concealed the $400,000 in proceeds from her fraud scheme so that she could collect $8,000 in Supplemental Security Income (SSI) benefits from the Social Security Administration. She also failed to disclose $100,000 in gambling proceeds. The income that was allegedly concealed would have disqualified her from receiving SSI benefits.

Wire fraud is punishable by up to 20 years in prison. Social Security fraud is punishable by up to five years in prison.

The Social Security Administration Office of Inspector General (SSA-OIG) investigated the case and Special Assistant United States Attorney Seth Wilkinson prosecuted it as part of a partnership venture between the Social Security Administration Office of General Counsel and the United States Attorney's Office.

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