A Rapid City man has admitted to collecting more than $100,000 in Social Security disability payments while working as a full-time truck driver. His wife, who owned the trucking company, has pleaded guilty to a misdemeanor.

Lonnie G. Holloman, 54, and Margaret R. Holloman, 52, were charged in U.S. District Court in connection with the scheme, which ran from January 2002 to July 2006.

According to federal court documents, Lonnie Holloman reported to the Social Security Administration that he was unable to work because of a back injury in 1991. However, Holloman was being paid as a truck driver for Holloman Trucking Company, which is owned and operated by Margaret Holloman.

In documents filed with the Internal Revenue Service, Margaret Holloman falsely reported that her husband was generating only enough income to be eligible for Social Security Disability Income benefits.

According to court documents, the SSA lost $105,291.50 because of Lonnie Holloman's actions. He pleaded guilty to felony theft of government property.

Margaret Holloman pleaded guilty to a misdemeanor charge of theft of government property. Court documents indicate that she admitted taking less than $1,000 in SSDI payments.

Both Lonnie and Margaret Holloman are free on bond pending sentencing Feb. 2 before U.S. District Judge Karen Schreier. Lonnie Holloman faces a maximum penalty of 10 years in prison and a $250,000 fine. Margaret Holloman could receive up to one year in prison and a $1,000 fine. They also could be ordered to pay restitution.

The couple originally was indicted on additional charges of conspiracy, Social Security fraud and false statement.

Contact Heidi Bell Gease at 394-8419 or heidi.bell@rapidcityjournal.com