Former Chelsea selectwoman accused of corruption, illegally collecting workers’ comp in indictment

By BDN staff and wire reports, The Associated Press
Posted March 01, 2012, at 1:21 p.m.

PORTLAND, Maine — Federal officials in Maine say a former selectwoman from Chelsea has been indicted on extortion, tax evasion and fraud charges.

The U.S. Attorney’s Office announced Thursday that a grand jury has indicted Carole Swan, 53, and her husband, Marshall Swan, 54.

The indictment accuses Carole Swan of using her position as a Chelsea selectwoman to extort $20,000 from a local construction company. She also is charged with fraud for charging the town $130,000 for culvert pipe that actually cost her and her husband’s construction company, which was doing culvert work for the town, only $58,000.

She also is charged with making false statements to obtain workers’ compensation benefits.

In 2009, Swan stated on a workers’ compensation form that she had not worked for any employer or been self-employed in the prior 24 months, but she had worked at her construction company and a horse racing business, according to the indictment. She also “materially under-reported the hours she worked on the Board of Selectmen for the Town of Chelsea,” the indictment states.

“I can not work I do not work I can not even clean my own house or blow dry my hair,” she wrote on the form, according to the indictment.

In addition, Carole and Marshall Swan are charged with filing false federal income tax returns from 2007 through 2011.

Carole Swan previously had faced state charges related to the same extortion allegations.

Carole Swan is scheduled to be arraigned at 2:30 p.m. March 13. Marshall Swan is scheduled to be arraigned at 3 p.m. March 17.

http://bangordailynews.com/2012/03/01/news/portland/former-chelsea-selectwoman-indicted-on-extortion-tax-evasion-fraud-charges/ printed on October 31, 2014