Missouri Man Admits VA Fraud
PHOTO CAPTION: A Silver Star Medal rests beside its award certificate. James Lyon admitted falsely claiming he received the Silver Star and Bronze Star despite never serving in combat. U.S. Marine Corps photo / DVIDS
An 80-year-old Missouri man who briefly served in the Marine Corps in 1966 has pleaded guilty after admitting he fabricated a far more decorated military career — including combat service in Vietnam, a Silver Star and a Bronze Star — and used false medical records to collect more than $124,000 in Department of Veterans Affairs benefits.
James Lyon, of Independence, Missouri, pleaded guilty Tuesday in federal court to fraudulently obtaining $124,262 in disability-related payments from the VA.
According to the U.S. Attorney’s Office for the Western District of Missouri, Lyon admitted that he repeatedly lied about both his military history and his health while seeking benefits.
His actual Marine Corps service was brief.
Court records cited by KSHB show Lyon served from Jan. 17 to April 15, 1966. Lyon said he was a conscientious objector and refused further Marine Corps training. He was ultimately discharged for unsuitability.
He never served in Vietnam.
He never served in combat.
But Lyon later told the VA a much different story.
Federal prosecutors said he falsely claimed he had completed three separate periods of Marine Corps service, including combat service during the Vietnam War.
He also claimed two of the military’s most recognizable combat decorations: the Silver Star and Bronze Star.
Neither claim was true.
Prosecutors said Lyon admitted he never served in combat and never received either award.
The false military history was only part of the scheme.
Lyon also admitted telling the VA that he had been diagnosed with amyotrophic lateral sclerosis, commonly known as ALS. Prosecutors said he backed that claim with fabricated medical records while seeking disability compensation.
According to court records cited by KSHB, Lyon had been making false claims about his military service as far back as February 1995. The benefits fraud charged in the case ran from at least Oct. 1, 2024, through July 1, 2026.
By the time the scheme ended, prosecutors said Lyon had received $124,262 in VA disability-related payments to which he was not entitled.
The case was investigated by the Department of Veterans Affairs Office of Inspector General.
VA Inspector General Cheryl L. Mason described the conduct as stolen valor, saying false claims about military service and awards undermine the sacrifices of veterans who actually earned them.
Lyon now faces a maximum sentence of 10 years in federal prison without parole. His actual sentence will be determined by a federal judge using sentencing guidelines and other statutory factors.
A sentencing hearing has not yet been scheduled.
(Source: OAF Nation)
