Florence man, Florida woman sentenced to prison in federal pandemic fraud case

FLORENCE, S.C. (WBTW) -- A Florence man and a Florida woman have been sentenced to federal prison for their role in a pandemic-related unemployment fraud scheme, according to the U.S. Attorney's Office.

Mohammad Ribhi Farraj, 43, of Florence, was sentenced to 10 months in prison, with five months to be served in the Bureau of Prisons and five months to be served on home detention with location monitoring. He will also have three years of court-ordered supervision after his release. Farraj was ordered to pay more than $604,000 in restitution.

Marvet Masoud, 34, was sentenced to two years in prison and ordered to pay more than $454,000 in restitution.

According to the U.S. Attorney's Office, Farraj and Masoud were part of a group that fraudulently obtained unemployment insurance benefits during the pandemic by submitting applications in South Carolina and three other states – Arizona, Florida and New York -- using the personal information of others, sometimes without their permission.

"In some instances, members of the conspiracy would apply for benefits in multiple states using the same individual's information," the U.S. Attorney's Office said. "Members of the conspiracy then received the funds associated with the fraudulent claims, primarily through either direct deposit or debit cards."

Investigators found 69 fraudulent claims that resulted in the loss of more than $454,000 in unemployment insurance funds, the U.S. Attorney's Office said.

Evidence showed that Farraj obtained debit cards with unemployment insurance funds associated with the fraudulent claims and then withdrew money at ATMs, the U.S. Attorney's Office said. He also fraudulently obtained an Economic Injury Disaster Loan under the name of a fictitious business, and after receiving $149,900 transferred the money to cryptocurrency accounts or used the money to pay credit card bills.

Investigators also found that Masoud withdrew money associated with fraudulent unemployment claims and also received a deposit of $9,321.00 into an account in her name," the U.S. Attorney's Office said.