Marion, NC — A McDowell County woman is facing federal charges after prosecutors say she fraudulently obtained more than $30,000 in disaster relief funds by claiming her home was damaged by Hurricane Helene, even though she was in prison when the storm hit.
False Claims About Flood Damage
According to WSOC-TV, Peggy Cantrell, 40, of Marion, applied for FEMA disaster assistance in February, stating that her property on Beaver Creek Road was her primary residence. Investigators say Cantrell also claimed she had owned and lived at the property for 25 years and that important personal documents had been washed away in the storm.
However, family members told authorities that no one has lived there in more than a decade — and that Cantrell herself was incarcerated when Hurricane Helene struck.
“When the hurricane hit, she was in prison and then she got out of prison in February,” said Cynthia Edwards, Cantrell’s stepmother. “And I don’t know how she did it, but she did all that.”
Family and Neighbors Stunned by Allegations
Edwards said she was shocked when federal agents arrived at her home to investigate.
“The FBI showed up and was telling us about it and showing us paperwork on it, where she had signed names that she lived down there,” Edwards explained.
Neighbor Jeff Smith expressed frustration over the alleged fraud as the community continues to recover from the hurricane.
“I think they ought to be prosecuted to the fullest extent of the law,” Smith said. “It’s not right. It’s not fair to all the people who did have all the damage.”
Federal Prosecutors Respond
U.S. Attorney Russ Ferguson said such fraud will not be tolerated.
“We will continue to bring to justice those who fraudulently used taxpayer money for personal gain because full recovery from Helene is going to take every available dollar,” Ferguson stated.
Authorities allege that Cantrell falsely certified her application and forged signatures to support her claim. The property she listed has reportedly been vacant for years, with no evidence of storm-related damage.
Key details from investigators:
- Property on Beaver Creek Road has been unoccupied for over 10 years.
- Cantrell was in prison at the time of the hurricane.
- She allegedly forged documents to prove residency.
Next Steps in the Case
Federal prosecutors have not yet announced Cantrell’s court date, but if convicted, she could face significant prison time and be required to repay the funds. The investigation remains ongoing.
Authorities are urging residents to report suspected disaster aid fraud to protect taxpayer resources for those truly in need.
What are your thoughts on this case? Share your opinion in the comments.
