VAOIG Seal U.S. Department Of Veterans Affairs
Office of Inspector General
Western Field Office
P.O. Box 241516
Los Angeles, CA 90024
(310) 268-4269
Friday, April 14, 2006
Alleged Paralyzed Veteran Pleads Guilty
Douglas J. Carver, Special Agent in Charge, VA Office of Inspector General, Western Field Office, announced today that Gregory Joseph Paulsen, a veteran, appeared in San Diego County Superior Court on April 7, 2006, and pleaded guilty to Felony, Grand Theft Charges. Paulsen admitted he misrepresented himself as a paraplegic to VA doctors in order to fraudulently receive monetary compensation and medical supplies related to that disability.

Paulsen was arrested at his San Diego residence on September 08, 2005, after investigators discovered he could walk and drive without any assistive devices. Agents also served a search warrant on Paulsen’s residence and found a stockpile of unused medical supplies provided by the VA. In addition to discovering the medical supplies, investigators also found numerous sealed, unused prescription medications dispensed to Paulsen dating back nearly one year from the date of issue. Paulsen admitted to investigators that he has been able to walk for approximately 3 years. During that time Paulsen had reportedly told VA physicians and benefit personnel that he had no sensation below his waist. As a result of the investigation and related evidence, Paulsen’s monthly disability benefits were reduced from $6,103.00 to $112.00. The estimated loss to VA is $128,155.00.

The VA OIG, VA Police, and the Social Security Administration OIG, in San Diego, CA, conducted this investigation. The Economic Crimes Division, San Diego District Attorney’s Office, is prosecuting this case. Paulsen’s sentencing hearing is scheduled for June 15, 2006.