DOJ touts success of COVID fraud strike force teams [The Bakersfield Californian]

Bakersfield Californian, The (CA)

Sep. 14—The Justice Department announced Wednesday the establishment of three strike force teams created to enhance the department's existing efforts to combat and prevent COVID-19-related fraud.

The DOJ news release cited the example of its prosecution against a Kern Valley State Prison inmate as an example of the task force's efficacy.

Daryol Richmond, 31, pleaded guilty on Feb. 22 to conspiracy and aggravated identity theft charges for his role in a $25 million unemployment insurance fraud scheme during the COVID-19 pandemic.

Seven others, including an inmate at the California Correctional Institution in Tehachapi, California, were charged in the scheme.

According to the plea agreement, between June 2020 and December 2020, Richmond obtained personally identifiable information for other individuals, including inmates and non-inmates, without their authorization.

He then provided this information to his co-conspirators inside and outside of prison through emails and jail calls. The co-conspirators then filed applications for unemployment insurance with the California Employment Development Department (EDD) that falsely stated that the inmates, minor children and others previously worked as clothing merchants, handymen and other jobs, and recently became unemployed because of the COVID-19 pandemic.

Charges are pending against the other seven defendants, which carry a sentence up to 20 years in prison and a $250,000 fine.