Roseville Man Charged in Employment Fraud Case
SACRAMENTO, Calif. - Three of nine defendants were arrested today in a continuing investigation into a fraudulent unemployment and disability benefits scheme based out of Sutter County, United States Attorney Benjamin B. Wagner announced. Balkar Singh, 50; Harvinder Kaur, 37; and Harjinder Kaur Thandi, 34, all of Yuba City, will be arraigned today at 2:00 p.m. before U.S. Magistrate Judge Dale A. Drozd.
In a 36-count indictment that was unsealed today, a federal grand jury charged nine defendants with participating in a scheme to defraud the State of California of unemployment and disability benefits. The remaining defendants: Jit Kaur, 62; Daljit Kaur Sangha, 41; Sukhwinder Kaur, 54; Darshan Rani, 44, all of Yuba City; Avtar Kaur Bains, 73, of Roseville; and Mo Pegany, 56, of Ceres, will appear in court at a later date.
"Fraud against the employer-funded Unemployment Insurance program or the employee-funded Disability Insurance program costs all of us and will not be tolerated," said Pam Harris, Director of the California Employment Development Department (EDD). "EDD's investigators are committed to detecting and deterring fraud to protect the integrity of these vital programs, which are meant to benefit hardworking Californians and businesses."
This is the third indictment in an ongoing investigation. Six defendants were indicted in May 2012, and six others were indicted in September 2012.
According to the first indictment, Mohammad Nawaz Khan, 56; Mohammad Adnan Khan, 31; Iqila Begum Khan, 31, all of Live Oak, and Mohammad Shahbaz Khan 56, of Yuba City, controlled a series of companies that were reported to the Employment Development Department as farm labor contractors. The Khans sold fake paystubs to other people in the community and used the companies they controlled to report false wages for the individuals who purchased those paystubs. The Khans at times instructed the purchasers how the fake paystubs could be used to fraudulently claim unemployment and disability benefits. Over the course of the conspiracy, the defendants reported wages for over 400 separate individuals that resulted in more than 2,000 fraudulent claims for unemployment and disability benefits. The loss in this case is more than $5 million.
According to the new indictment, Jit Kaur, Bains, Sangha, Pegany, Singh, Harvinder Kaur, Thandi, Sukhwinder Kaur, and Rani purchased pay stubs that falsely showed they had been paid wages by companies controlled by the Khans. The defendants would then use that pay stub to file for unemployment benefits, disability benefits, or both. According to the indictment, the defendants purchased pay stubs for approximately $250 for every $1,000 in wages. They would use those fraudulent obtained wages to file for unemployment insurance, disability insurance, or both.
This case is the product of a joint investigation by the Federal Bureau of Investigation, the Department of Labor, Office of Inspector General, and the Employment Development Department, Investigations Division. Assistant United States Attorney Jared Dolan is prosecuting the case.
If convicted, the defendants face a maximum statutory penalty of 20 years in prison and a $250,000 fine for each count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The charges are only allegations, and the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Pet Care | Real Estate | Restaurants | Tech | View All | * Add/Upgrade Business
Placer County News HeadlinesRoseville Flash Crime Report (11.25.15)Roseville, CA- Crime flash report for Roseville, November 25, 2015.
Water Savings Fall Short AgainRoseville, CA. - Customers in San Juan Water District's retail service area reduced their October water use by 26 percent, which is 10 percent less
Chapa-De Indian Health Website for PatientsAUBURN, CA - Chapa-De Indian Health is proud to announce the launch of its newly updated website will also allow patients to learn about the comprehensive healthcare services
Blindness EtiquetteRoseville, CA - If you are meeting a person who is blind or visually impaired for the first time, do you offer your hand for him to shake?
Toyota RAV4 remains reliable compact SUVRoseville, CA- There is obviously a lot to like regarding the RAV4, starting with a sticker price that ranges from $23,680 to $29,850.
Roseville, Rocklin May Get Jobs Boost from Sunset Area PlanRoseville, CA - Currently known as the Sunset Industrial area west of Highway 65 and surrounded by the cities of Roseville, Rocklin and Lincoln.
Loretta Claiborne: RevisitedRoseville, CA - Last week, I began telling you about Loretta Claiborne, an African American who was born poor, partially blind, and with an intellectual disability.
Placer County Water Agency Adopts 2016 BudgetAUBURN, Calif. - At its November 19 meeting, the Placer County Water Agency (PCWA) Board of Directors adopted the Agency's 2016 budget
Rocklin Crime Report Update: DUI Arrests JumpRocklin, CA - Rocklin police weekly crime report digest update summary for the period of November 9- 15, 2015.
Roseville and Rocklin Among Beneficiaries of Clean Energy ProjectsRoseville, CA - The Placer County Board of Supervisors received a program update on mPOWER which has funded more than $35 million in clean energy projects
Cali Bowl in Roseville November 27-29Roseville, CA- The 8th Annual California Bowl comes to Roseville on Nov. 27-29 at the Woodcreek High School football stadium
Roseville to Hold Green Gardening at Home SeriesRoseville, CA - Starting this January, the Roseville Utility Exploration Center, 1501 Pleasant Grove Blvd. at Mahany Park
NEWS: In Case You Missed It