Former Georgia Lawmaker Charged with Unemployment Fraud

Fri Jan 09 2026 08:21:00 GMT+0200 (Eastern European Standard Time)

Karen Bennett, a former Georgia state House member, has been charged with making false statements to collect federal unemployment benefits during the pandemic, marking the second such case involving a Democratic legislator in recent months.

Karen Bennett has been charged with fraudulently collecting $13,940 in federal unemployment benefits by falsely claiming she was unable to work due to COVID-19 restrictions. This follows a similar case involving another Georgia lawmaker, Sharon Henderson. Bennett resigned from her position shortly before the charges were filed.

ATLANTA (OnPointInfo) — A former member of the Georgia House of Representatives, Karen Bennett, has been indicted for lying to collect federal unemployment benefits during the pandemic. Federal prosecutors announced the charges, accusing Bennett of making false statements to unjustly receive $13,940 in benefits.

Bennett, who served as a Democrat in the House, resigned shortly before appearing in court, where she waived indictment and pleaded not guilty. Following her court appearance, she was released on a $10,000 bail.

Legal representatives of Bennett have not yet commented on the charges. Typically, waiving indictment can precede a guilty plea in federal cases.

Bennett initially joined the Georgia House in 2012, representing districts in DeKalb and Gwinnett counties. Her indictment comes on the heels of another similar case involving another Georgia lawmaker, Sharon Henderson, who was indicted last December for collecting $17,811 in unemployment benefits under false pretenses. Henderson remains an active member of the House while free on bail.

The U.S. Attorney Theodore Hertzberg indicated that further investigations are underway into potential misconduct by other state legislators related to unemployment claims.

According to prosecutors, Bennett falsely claimed she was unable to work due to quarantine restrictions while running her own business, Metro Therapy Providers. They allege she continued to work administratively from home, leading to significant discrepancies in her unemployment benefit applications. Furthermore, it is claimed she failed to disclose that she received an additional $905 weekly from church-related work.

Throughout the pandemic, the federal government offered special unemployment benefits to those affected by COVID-19 via state systems, requiring beneficiaries to certify their employment status weekly to claim aid. As of now, both Bennett’s and Henderson's situations underscore growing scrutiny regarding the ethical conduct of state lawmakers.

The fraud allegations also come as other members of the Democratic party in the Georgia House face uncertainties, with Bennett's and another Rep., Lynn Heffner, resignation indicating possible implications on the legislative calendar as special elections may be called to fill their vacant seats.