
Los Angeles, California – The Los Angeles County District Attorney’s Office has announced felony grand theft charges against 13 county employees from seven different agencies for allegedly stealing a combined $437,383 in state unemployment benefits. The alleged fraud occurred between 2020 and 2023, with employees claiming unemployment while simultaneously receiving their regular county paychecks. Each defendant faces a maximum of three years in state prison if convicted.
District Attorney Nathan Hochman stated during a news conference, "It is shocking that these County employees who are receiving their county check every single two weeks are also telling EDD at the same time that they're unemployed." He emphasized that his office "will not tolerate this type of illegal conduct by anyone, but especially by county employees who are given that additional trust." The charges highlight a broader issue, with Los Angeles County public and private employers estimated to have lost $10 billion to pandemic-era Employment Development Department (EDD) fraud.
The employees, ranging in age from 42 to 58, allegedly submitted fraudulent unemployment insurance claims to the California EDD, falsely stating under penalty of perjury that they earned less than $600 per week during claim periods. In reality, they were earning more than this amount, making them ineligible for benefits. The amounts allegedly stolen by individuals ranged from $9,300 to $57,900.
Five of the charged individuals worked for the Department of Children and Family Services, with others from agencies including the Department of Public Social Services, the Sheriff's Department, and the Auditor-Controller's office. Los Angeles County Auditor-Controller Oscar Valdez noted that the County has lost over $3.75 million due to pandemic unemployment insurance fraud, including cases by county employees and identity theft.
The investigations were conducted in partnership with the Los Angeles County Department of Auditor-Controller, Office of County Investigations, which operates the county's fraud hotline. DA Hochman indicated a renewed focus on white-collar crime and public integrity issues, contrasting with the previous administration. The charges underscore the ongoing efforts to hold government employees accountable for misconduct and to protect taxpayer funds.