Lamont Brown, a 37-year-old resident of Dunkirk, New York, pleaded guilty on Mar. 20 to theft of government funds in a case involving fraudulent claims for pandemic unemployment assistance. The announcement was made by U.S. Attorney Michael DiGiacomo.
The case highlights ongoing efforts to address fraud related to federal relief programs established during the COVID-19 pandemic. Brown faces a maximum penalty of 10 years in prison and a $250,000 fine for his role in the scheme.
According to Assistant U.S. Attorney Franz M. Wright, Brown recruited others during the pandemic to apply for unemployment benefits through the Pandemic Unemployment Assistance (PUA) program using false information. The group used personally identifiable information to obtain PUA funds from the Puerto Rico Department of Labor and Human Resources, despite not being eligible for these benefits. Brown received a portion of the illegally obtained funds as payment for facilitating the scheme.
In July 2020, Brown personally received a check totaling $10,122 from the Puerto Rico Department of Labor and Human Resources, which he deposited into an account at Lake Shore Savings Bank in Western New York before withdrawing and spending the money. The total loss resulting from this scheme amounted to $67,524.
The investigation was conducted by Homeland Security Investigations and the U.S. Department of Labor Office of Inspector General. Sentencing is scheduled for August 5 before U.S. District Judge John L. Sinatra, Jr.
