Police arrest 2 accused of California unemployment fraud
SACRAMENTO, Calif. (AP) — When police in California's capital city searched an...
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SACRAMENTO, Calif. (AP) — When police in California's capital city searched an...
Millions of Americans have struggled financially since the March outbreak of the COVID-19 pandemic. But new reporting reveals that rather than successfully helping those truly in need, the California government sent up to $31 billion in taxpayer money earmarked for “COVID relief” to fraudsters and crime rings. The Golden State has paid out an astounding $114 billion in expanded unemployment benefits since the crisis began last spring. Of that sum, officials have confirmed 10 percent as fraudulent. That’s $11.4 billion definitely lost to fraud. The state has identified another 17 percent...
CBS News Crackdown on unemployment fraud in California is "complete disaster" for some with legitimate claims Now, many jobless Californians with legitimate claims are struggling to get their money. Gonzalo Arceo cares for his 14-year-old daughter Emily, who has disabilities. "I'm her voice. I'm her legs because she doesn't walk. I'm her legs," he told "CBS This Morning" consumer investigative correspondent Anna Werner. But in March, his construction work dried up due to the coronavirus. He got unemployment benefits from the Employment Development Department. California pays that money...
Share Source: Erin Schaff/The New York Times via AP According to a newly-unsealed federal criminal complaint, a former employee for California's Employment Development Department (EDD), the state's unemployment agency, allegedly engaged in fraud. Andrea Gervais, the former employee, allegedly used Sen. Dianne Feinstein's (D-CA) name to apply for unemployment benefits through the EDD, POLITICO reported. The information came to light after a bank employee noticed a deposit for $21,000 in the senator's name. The investigation revealed Gervasis allegedly filed $2.1 million in claims. Of those...
FBI Special Agent Christina D. Burt, in an affidavit filed in the case, said Mr. Ray has been deported in 2011 for overstaying a visa, and had a final order of removal lodged against him. It’s not clear when he snuck back into the U.S., though at the time he was caught he was using several stolen identities, and had checked in to the Wynn with one of those. One identity had Mr. Ray as 6 feet, 3 inches tall and weighing 240 pounds. He is in fact eight inches shorter and 75 pounds lighter, the FBI said. California’s unemployment program has proved to be a major source of fraud during the co...