Four people have been indicted in two related federal fraud cases involving allegations that elderly and vulnerable residents were financially exploited while living in unlicensed boarding homes across North Texas.
The defendants are Donella Locke, Suekya Whitney, also known as Suekya Locke, Shakoya Crenshaw, also known as Shakoya Locke, and Krystle Locke, also known as Krystle Edwards and Krystal Locke.
The Northern District of Texas returned the indictments on August 26. Prosecutors allege that the defendants used positions of trust to carry out schemes involving an older woman’s home and the government benefits of a deceased resident.
Elderly Woman’s Home Allegedly Sold
A federal grand jury charged Donella Locke, Whitney and Crenshaw with conspiracy to make false statements to a financial institution and four counts of making false statements to a financial institution.
According to the indictment, the defendants obtained power of attorney over a 79-year-old woman identified as W.S., who lived at one of their unlicensed boarding homes.
Prosecutors allege they arranged for W.S.’s longtime Garland home to be sold to Whitney and Crenshaw. More than $156,000 in proceeds allegedly moved through multiple accounts before $147,000 was transferred to Locke.
Locke allegedly used the money to purchase another home while representing the funds as a cash gift from her daughter, according to the indictment.
The defendants are also accused of falsely telling Capital Fund 1 and CrossCountry Mortgage that the real estate transactions were conducted at arm’s length and that Locke received legitimate gift funds.
Prosecutors Allege False Mortgage Statements
The indictment alleges the defendants knew the transactions involved family members and that the money originated from the sale of W.S.’s property.
If convicted, each defendant faces up to five years in federal prison on the conspiracy charge and up to 30 years on each false-statement count. Prosecutors are also seeking forfeiture of property allegedly connected to the offenses.
“The FBI remains committed to investigating those that engage in fraudulent schemes that target the most vulnerable members of our communities,” said FBI Dallas Special Agent in Charge R. Joseph Rothrock.
The FBI Dallas investigated the alleged mortgage fraud scheme.
Social Security Benefits Allegedly Stolen
In the related case, Krystle Locke was indicted on four counts of theft of government money and one count of aggravated identity theft.
Prosecutors allege Locke operated John Thomas Residential Care Home and other unregistered boarding homes. In December 2022, S.T., a resident, allegedly granted Locke durable power of attorney.
According to the indictment, Locke applied for Social Security Disability Insurance and Supplemental Security Income on S.T.’s behalf and later redirected the payments into her own bank account.
Social Security Administration records allegedly show deposits totaling more than $44,000 in October 2024. S.T. died October 19, 2024.
The indictment alleges Locke continued withdrawing money after learning of S.T.’s death and did not return the funds after being instructed to do so. Prosecutors allege the total amount taken exceeded $50,000.
If convicted, Locke faces up to 10 years in federal prison for each theft count. The aggravated identity theft charge carries a mandatory consecutive two-year sentence.
Officials Call Alleged Conduct Breach of Trust
U.S. Attorney Ryan Raybould said protecting older adults is a major responsibility of the Justice Department and described the alleged conduct as a breach of trust.
“Social Security is not a personal piggy bank to exploit at the expense of the American taxpayer,” Raybould said.
The Social Security Administration Office of Inspector General, Veterans Affairs Office of Inspector General, and Texas Attorney General’s Office Medicaid Fraud Control Unit investigated the benefits case.
Assistant U.S. Attorneys Elise Aldendifer and Chad Meacham of the Fraud section are prosecuting the cases.
An indictment is an allegation, and all four defendants are presumed innocent unless proven guilty in court.
Provided by Dallas Express
