Cairo residents sentenced in federal court in insurance fraud case

ALBANY — Two individuals from Cairo were sentenced on Thursday in federal court in connection to an insurance fraud scheme, Acting United States Attorney for the Middle District of Georgia G.F. Peterman III said.

Peterman said sentences for Elbert Walker, Jr., 67, and Shirley Burk, 48, were handed down by Senior District Court Judge W. Louis Sands in Albany on Thursday after burning houses for insurance payments. Walker was sentenced to serve 121 months in federal prison for conspiracy to commit arson and mail, wire, bank and bankruptcy fraud and false declarations to a court as well as several firearms offense while Burk was sentenced to 60 months for conspiracy to commit arson, mail fraud and false declarations to a court.

The defendants along with Darryl Burk, who is to be sentenced in May, were convicted in November after a jury trial lasting more than three weeks.

Peterman said evidence presented at trial showed, that between 1996-2006, Walker was the owner and operator of Southside Grocery in Camilla, Northside Home Remodeling in Cairo and Moultrie, J and J Hauling Roofing and Construction in Cairo, North Broad Mini Market in Thomasville, Rainbow Club in Pelham, Chickasaw Club in Cairo and Zock Rock Publishing and Promotions in Cairo. Darryl Burk, Shirley Burk were residents of Grady County and relatives of Walker’s.

The three individuals, Peterman said, conspired to destroy residential dwellings in Grady, Mitchell, Thomas and Colquitt counties by intentionally setting them on fire. They are said to have defrauded insurance providers by falsely claiming that proceeds of insurance policies should be paid to them, and they are said to have defrauded lending institutions in order to obtain financing for residential mortgage loans for the properties and presented counterfeit and forged checks associated with the proceeds of the insurance policies.

Walker and Shirley Burk also defrauded the U.S. Bankruptcy Court and the U.S. District Court, Peterman said.

Further evidence showed Walker had been previously convicted of welfare fraud conspiracy in New Jersey. In 2007 and 2011, agents executed search warrants at his residence in Cairo and located multiple firearms in his possession, some of which had obliterated serial numbers, Peterman said.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Secret Service, Georgia State Fire Marshal’s Office, Grady County Sheriff’s Office, Pelham Police Department and Moultrie Fire Department. Assistant U.S. Attorney Leah McEwen and Special Assistant U.S. Attorney Harry Foster prosecuted the case.