Lacombe woman sentenced in Katrina fraud case
A Lacombe woman has been sentenced to a year and a day in prison for two felony counts of theft of government funds she obtained after Hurricane Katrina.
According to court documents, in 2005 Denise Stobaugh and her husband applied for a loan from the SBA based on damage purportedly done by the hurricane to their home.
The SBA granted the defendants a $38,800 loan.
In 2006, Denise Stobaugh applied for Road Home money and received $150,000.
Prosecutors say the Stobaugh home received only minimal damage from Katrina.