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Department of Justice

Baltimore Woman Pleads Guilty to Accepting Bribes and Defrauding Maryland Unemployment Insurance Program

Baltimore, Maryland – Natonia Johnson, 52, of Baltimore, Maryland, pled guilty today, to one count of wire fraud in connection with a bribery scheme that she conducted as a Maryland Department of Labor (MD-DOL) contractor to issue fraudulent unemployment insurance funds. Johnson assisted friends, family members, and strangers with fraudulently filing and obtaining UI benefits they were not eligible to receive in exchange for bribes and kickback payments.
Department of Labor OIG

COVID-19: ETA Needs to Improve Its Oversight of States' Efforts to Identify UI Fraud Using Suspicious Email Accounts

DOl OIG had concerns regarding UI benefits specifically to what extent did ETA and state workforce agencies (SWA) address potentially fraudulent CARES Act UI claims filed using suspicious email accounts. 10 SWAs were reviewed and DOL OIG found ETA took limited action to ensure states properly addressed the potentially fraudulent UI claims. ETA did not perform the proper oversight actions, because ETA considered its oversight responsibilities to be limited. ETA 's ability to assess UI program performance, identify high-risk areas and provide states with additional tools, because ETA did not...
Department of Justice

Sacramento Man Pleads Guilty to Wire Fraud and Aggravated Identity Theft in Connection with Covid-Related Unemployment Insurance Fraud Scheme

Roosevelt Gulley III, 41, of Sacramento, pleaded guilty today to wire fraud and aggravated identity theft.
Department of Justice

Prince George’s County Man Sentenced for Unemployment Insurance Fraud and Firearms, Drug Trafficking Crimes

Greenbelt, Maryland – District Judge Deborah L. Boardman sentenced Ahmed Hussain, 23, of Prince George’s County, Maryland, to 102 months in federal prison, followed by three years of supervised release. Judge Boardman also ordered Hussain to pay $557,078 in restitution. The sentence is in connection with Hussain’s convictions on conspiracy to commit wire fraud and aggravated identity theft charges, stemming from Hussain submitting fraudulent CARES Act unemployment insurance claims. Hussain’s sentence also covers Hussain’s convictions on felon in possession of a firearm and possession with...
Department of Justice

Twelve Lakeland-Based Gang Members Charged With Paycheck Protection Program Fraud

Tampa, Florida – United States Attorney Gregory W. Kehoe announces the unsealing of 9 indictments charging 12 individuals with wire fraud. If convicted, each faces a maximum penalty of 20 years in federal prison.
Department of Labor OIG

ETA Did Not Ensure ARPA Grants Demonstrated Improvements in Access to Unemployment Benefits

DOL OIG was concerned about ETA’s ability to deploy ARPA grant funding. Therefore, DOL OIG performed an audit to determine: To what extent did ETA administer these grants in accordance with ARPA and DOL’s objectives for UI access, and are grant recipients on target to achieve performance outcomes? OIG found ETA did not ensure the grants demonstrated improvements in access to UI benefits nor were they awarded in a way that would maximize impact of the funding. ETA did not ensure states reported complete and accurate outcome metrics and status updates in quarterly progress reports. Finally, ETA...
Department of Justice

Nevada Man Charged In $500,830 COVID-19 Unemployment Fraud Scheme

LAS VEGAS – A Las Vegas man made his initial appearance in court yesterday for allegedly defrauding the Nevada Department of Employment, Training, and Rehabilitation (DETR) and the California Employment Development Department (EDD) in a scheme to steal $500,830 in benefits meant to assist unemployed individuals during the COVID-19 pandemic.
Department of Justice

Former Department of Labor Employee Indicted for Fraudulently Obtaining Over $40,000 in Pandemic Unemployment Assistance Benefits

BOSTON – A former employee of the U.S. Department of Labor (DOL) was charged today with fraudulently obtaining over $40,000 in pandemic unemployment assistance (PUA) benefits.