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Federal authorities allege Metro Therapy Providers was only briefly closed and continued operating through most of the pandemic period when Bennett was receiving unemployment assistance. Prosecutors say this directly contradicts the information she provided to the government when applying for benefits.
The situation worsened, investigators say, when Bennett allegedly failed to disclose additional income. While her application listed earnings from her therapy business and her salary as a state legislator, prosecutors claim she omitted another significant source of income.
According to federal investigators, Bennett was also employed by a church during that time and was reportedly earning more than $900 per week, income that was never disclosed on her unemployment paperwork. The omission, prosecutors argue, amounts to a false statement made to obtain government funds.
As a result, Bennett has been formally charged with one count of making false statements. She was later released on a $10,000 bond, according to local reporting.
WSB-TV detailed the case in a report outlining the allegations against the lawmaker. The station wrote:
“A second Georgia lawmaker has been charged with defrauding taxpayers by receiving pandemic unemployment assistance that she was not entitled to.
A federal grand jury indicted State Rep. Karen Bennett (D-Stone Mountain) on Monday.
Prosecutors say she received $13,940 for her in-home physical therapy company, Metro Therapy Providers, which she says could not operate during the COVID-19 pandemic.
However, investigators say the company was only briefly closed, and remained open through the majority of the pandemic.
On her application, Bennett only reported receiving income from Metro Therapy and the Georgia General Assembly. But she failed to disclose that she was also employed through a church and receiving more than $900 weekly.
She was indicted on one count of making false statements.”
Bennett’s indictment comes just weeks after another Georgia Democrat lawmaker was arrested on similar charges, fueling criticism that pandemic relief programs were ripe for abuse and poorly monitored.
Last month, State Representative Sharon Henderson, also a Democrat, was arrested and charged with defrauding the federal government in connection with COVID unemployment benefits. A federal grand jury accused Henderson of two counts of theft of government funds and ten counts of making false statements, signaling a broader crackdown on pandemic-related fraud.
Together, the cases underscore growing frustration among taxpayers who followed the rules while watching billions in emergency aid flow out the door with minimal oversight. Conservatives argue these indictments validate long-standing warnings that massive government programs invite fraud—especially when accountability is weak.
As federal prosecutors continue pursuing pandemic fraud cases nationwide, the legal fallout for Georgia Democrats may not be over. For voters, the question remains whether lawmakers who allegedly exploited relief funds can continue to claim moral authority when demanding more government spending and control.
