NORFOLK -- A Richmond woman was sentenced Wednesday to twenty months in prison, followed by three years of supervised release, for defrauding the U.S. Department of Veterans Affairs, according to the U.S. Attorney's Office.
Kimberly Gregory, 54, pleaded guilty to the charge of making a false statement on November 19, 2013.
The U.S. Attorney's Office released the following information:
Gregory defrauded the VA out of educational benefits. Gregory ran a beauty school in Richmond called Become New Beauty and was certified by the VA to receive educational funds for veterans enrolled in its programs.
Rose Simmons, who ran a beauty school called Advanced Cosmetology Institute in Chesapeake, was not certified by the VA to receive VA educational funds for veterans enrolled in that school.
In order to tap into the veteran funds, Simmons and Gregory agreed to falsely submit claims to the VA for ACI students by falsely stating that they were attending BNB.
In addition, they raised the tuition of BNB from approximately $5,000 to nearly $17,000. Gregory and Simmons caused a loss to the government in excess of $85,000.
Simmons also pleaded guilty on November 14, 2013 and will be sentenced in April.