A 12-year employee of Boston's Veterans' Services Department was indicted by a Suffolk grand jury yesterday on 20 counts of extortion, fraud, and filing of false statements for allegedly demanding kickbacks from two women he paid as home health care aides for those receiving veterans' benefits.

According to the indictment, Joseph H. Miller, 57, of Beverly, allegedly arranged to have the women hired as health aides in return for some of the public funds they were paid. He is alleged to have pocketed as much as $15,000.