Victorville Woman sentenced to federal prison for fraudulently obtaining insurance benefits

Rene Ray De La Cruz, Victorville Daily Press
·2 min read
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A Victorville woman was sentenced to 30 months in federal prison for fraudulently obtaining more than $500,000 in pandemic-related unemployment insurance benefits.

The Department of Justice reported that Cynthia Ann Hernandez, 33, a.k.a. “Cynthia Roberts,” obtained the money by using the names of inmates in the California state prison system. She was sentenced by U.S. District Judge Mark Scarsi, who also ordered her to pay $515,138 in restitution, the DOJ reported on Monday.

Hernandez pleaded guilty on January 23 to one count of mail fraud and one count of access device fraud.

During the summer of 2020, Hernandez filed with the California Employment Development Department fake applications for unemployment benefits in the names of persons incarcerated in the California state prison system and who were ineligible to receive jobless benefits, the DOJ reported.

EDD manages California’s unemployment insurance benefits program.

Hernandez falsely stated on the benefits applications that the named claimants were individuals whose employment status had been impacted by the COVID-19 pandemic and were eligible for pandemic unemployment help under the Coronavirus Aid, Relief, and Economic Security Act.

Congress passed the CARES Act in March 2020, in part, to help individuals whose employment and finances were adversely affected by the pandemic.

The applications also falsely stated that the named claimants were eligible for the UI benefits and that they resided and worked in Los Angeles and Orange counties.

EDD then authorized Bank of America to issue debit cards in the claimants’ names that were mailed to Hernandez’s mailing address.

In total, Hernandez caused at least 29 fraudulent applications to be filed with EDD.

Prosecutors wrote in a sentencing memorandum that Hernandez “orchestrated a sophisticated scheme that deprived the state of over $500,000” meant to provide relief for vulnerable taxpayers who were unable to work due to the COVID-19 pandemic.

“She did so by applying for UI benefits for people who were plainly ineligible and did so for her own financial gain,” prosecutors said.

The case was investigated by:

  • U.S Department of Labor Office of Inspector General

  • EDD Investigation Division

  • Homeland Security Investigations.

  • California Department of Corrections and Rehabilitation

  • U.S. Department of Homeland Security’s Office of Inspector General

  • U.S. Postal Inspection Service

  • U.S. Customs and Border Protection’s Special Response Team.

Assistant U.S. Attorney Haoxiaohan Cai of the General Crimes Section prosecuted this case.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866- 720-5721 or via the NCDF Web Complaint Form at justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

Daily Press reporter Rene Ray De La Cruz may be reached at 760-951-6227 or RDeLaCruz@VVDailyPress.com. Follow him on Twitter @DP_ReneDeLaCruz

This article originally appeared on Victorville Daily Press: Victorville Woman sentenced to federal prison for insurance fraud