Feds Charge Second Georgia Lawmaker With Fraudulently Receiving COVID-19 Employment Benefits

Karen Bennett announced her retirement from office days ahead of indictment.

A former Georgia lawmaker is accused of lying to receive $13,940 in federal unemployment benefits during the pandemic. On Jan. 5, federal prosecutors filed charges against Karen Bennett, alleging she made false statements to obtain the benefits. Bennett served as Georgia State representative for District 94.

Bennett waived indictment, pleaded not guilty to the charges, and was released on $10,000 bail after a Jan. 5 court appearance. Waiving indictment means a defendant gives up their right to a grand jury review for a felony, which allows the U.S. Attorney to file charges through “information.” In federal court, waiving indictment often results in a defendant pleading guilty.

According to prosecutors, Bennett, a physical therapist, stated that COVID-19 quarantine mandates prevented her from working at Metro Therapy Providers, which she owns. However, they allege the business continued to operate and generate income, aside from a brief closure.

Additionally, prosecutors say Bennett failed to disclose that she was also receiving $905 in weekly pay from a church where she served as a minister.

Since 2013, Bennett has served as Georgia State representative for District 94, which covers parts of DeKalb and Gwinnett counties in suburban Atlanta. The Democrat resigned from the House effective Jan. 1.

Bennett is the second House member to be charged with falsely collecting unemployment assistance during the pandemic. Rep. Sharon Henderson was indicted in December 2025 on charges of theft of government funds, and Henderson is accused of illegally receiving $17,811 in unemployment benefits. Henderson was released on bail and currently remains in office.

Following Henderson’s arrest, U.S. Attorney Theodore Hertzberg said that other Georgia state House members were being investigated. It’s unclear if more lawmakers will face charges.

Georgia lawmakers will return to session on Monday, Jan 12, with two fewer members. Democratic state Rep. Lynn Heffner of Augusta resigned on Jan 5. Heffner said her resignation was due to a potential residency conflict. The lawmaker noted her home suffered structural damage from Hurricane Helene in 2024, she was involved in the rebuilding process, and it has reached an “impasse,” leaving her unsure if she could maintain residency in House District 130, which she represents.