American Red Cross Employee Indicted for Deliberately Defrauding Unemployment Insurance Program
Stephen R. Wigginton, United States Attorney for the Southern District of Illinois, announced today that, Faith L. Moran, age 44, of Centreville, Illinois, was indicted by a Grand Jury in the United States District Court for the Southern District of Illinois, East St. Louis Division. The three count indictment charges Moran with Embezzlement of Public Funds and two counts of Mail Fraud for allegedly collecting unemployment insurance benefits unlawfully from the Missouri Division of Employment Security (MODES) for more than two years.
An indictment is a formal charge against a defendant. Under the law, that charge is merely an accusation and the defendant is presumed innocent unless proven guilty.
The indictment alleges that Moran was working for the American Red Cross in St. Louis, Missouri on or about March 21, 2010, when she first filed a claim for unemployment insurance benefits with MODES. Moran allegedly continued filing claims and receiving benefits through at least August 12, 2012, all while she was still working for the American Red Cross and either failing to report her income or underreporting her income. During that period, the indictment alleges further that Moran lost the debit card through which her benefits were paid and opted to call MODES to request, and ultimately receive, a replacement card. In total, Moran allegedly received $34,596 in unemployment insurance benefits from MODES to which she was not entitled.
Embezzlement of Public Funds is punishable by up to 10 years of imprisonment, a fine of up to $250,000, or both; a term of supervised release of up to 3 years, and a $100 special assessment. Each count of Mail Fraud is punishable by up to 20 years of imprisonment, a fine of up to $250,000, or both; a term of supervised release of up to 3 years, and a $100 special assessment.
This case was investigated by the United States Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations; the United States Postal Inspection Service; and the Illinois Department of Employment Security. The case is being prosecuted by Special Assistant United States Attorney Katherine L. Lewis.