A federal investigation into fraudulent pandemic unemployment claims led to the imprisonment of five more people this week in U.S. District Court in Abingdon. The plan featured bogus filings with the Virginia Employment Commission (VEC), resulting in the theft of more than $341,000 in relief money intended for eligible claimants.
More Sentences Handed Down
This Article Includes
On Thursday, six people were sentenced to federal prison for their involvement in the scheme. Christopher Kirk Webb, 40, of Raven, was sentenced to 20 months, and Russell Eric Stiltner, 42, of Abingdon, was sentenced to 24 months. Jessica Dawn Lester, 35, of North Tazewell, and Cara Camille Bailey, 38, of Davenport, were both sentenced to 19 months, while Justin Warren Meadows, 39, of Oakland, was sentenced to 18 months. In addition to their prison sentences, the defendants have been sentenced to pay restitution to the VEC in the amount of their bogus claims.
Earlier Sentences in the Case
The prosecution of numerous scheme participants led to the latest penalties. Jonathan Webb, designated as the major recruiter who pushed others—primarily jail inmates—to join, received a 48-month sentence and was forced to pay $150,218 in reparations.
Other people who have already been sentenced include:
- Terrence Brooks Vilacha, sentenced to 18 months in prison and ordered to repay $14,894.
- Joseph Hass, sentenced to 27 months in prison with restitution set at $19,316.
- Brian Addair, sentenced to 24 months and ordered to repay $22,284.
- Stephanie Amber Barton and Hayleigh McKenzie Wolfe, each sentenced to 12 months and one day.
How the Fraud Took Place
According to court records, the scam functioned from March 2020 to September 2021. Defendants Josef Brown, Jonathan Webb, and Crystal Shaw obtained personally identifiable information (PII) from convicts at the Southwest Virginia Regional Jail Authority facility in Haysi, as well as personal acquaintances. Using this information, they made bogus claims and recertifications for pandemic unemployment benefits on the Virginia Employment Commission’s website.
Many of the people whose information was utilized were ineligible for the benefits, yet the fraudulent applications resulted in the approval and delivery of relief money. By the time the fraud was discovered, the group had illegally collected almost $341,000 in federal pandemic aid monies.
A Costly Crime with Lasting Consequences
The sentencing of these offenders represents a significant step toward holding people accountable for pandemic-related fraud. With more people already convicted and imprisoned, authorities are working to recover stolen funds and prosecute those who took advantage of aid programs during a crisis.