Winnsboro Mayor Alice Wallace faces six counts of government benefits fraud after Louisiana authorities arrested her for allegedly concealing income and employment status to illegally collect $75,000 in Medicaid benefits over five years, just weeks before her re-election bid.
The Charges Against Mayor Wallace
Louisiana Attorney General Liz Murrill announced the arrest following an investigation by the Louisiana Bureau of Investigation. The probe revealed that Wallace fraudulently received Medicaid benefits for herself and a dependent from 2021 through 2026. Investigators found the mayor failed to report her employment and salary to the Louisiana Department of Health, continuing to collect benefits despite earning income that disqualified her from the program. Wallace served in a salaried position from 2021 through 2022 before becoming Winnsboro’s elected mayor in 2022, receiving compensation and health insurance coverage throughout both positions.
According to the Louisiana Attorney General’s office, Wallace intentionally misrepresented her marital status and the availability of employer-provided health insurance. The investigation determined she concealed material facts affecting her continued eligibility for state benefits. Each of the six counts corresponds to individual years between 2021 and 2026 during which Wallace allegedly knew she was employed, received income, and failed to disclose that information as required by law. The Louisiana Department of Health Medicaid Fraud Division calculated the total fraudulent benefits at approximately $75,000.
Mayor’s Defiant Response
Wallace declined to comment directly when contacted by USA Today Network but took to Facebook hours after her April 21 arrest. In a lengthy social media post, she declared that she would be vindicated and suggested the timing was politically motivated with the mayoral election three weeks away. Wallace wrote that her team had been energized by the charges, asking supporters what else opponents could produce. She invoked religious imagery, claiming forces were attempting to embarrass and discredit leadership to seize power through uninformed individuals.
Accountability For Taxpayer Fraud
Attorney General Murrill emphasized that no one receives special treatment when defrauding Louisiana taxpayers. Her office stressed that public officials face the same accountability as any citizen when accused of stealing from government programs designed for those genuinely in need. The case highlights ongoing efforts to combat Medicaid fraud, which drains resources from legitimate recipients. Wallace’s arrest warrant was obtained through the 19th Judicial District Court of Louisiana. The charges carry potential criminal penalties for knowingly concealing and failing to disclose material facts affecting eligibility for Louisiana Department of Health Medicaid program benefits. The case proceeds as Wallace continues her re-election campaign, maintaining her innocence while facing significant legal jeopardy.