A Louisiana woman was sentenced in federal court after authorities say she ran a multi-state unemployment insurance fraud scheme during the pandemic that resulted in more than $267,000 in illicit benefits.
Reha Janee Arvie, 35, of Westwego, Louisiana, was sentenced after pleading guilty to Conspiracy to Commit Mail Fraud, Acting United States Attorney Michael M. Simpson announced. Federal prosecutors say the case grew from an investigation into pandemic-era abuse of unemployment programs. The matter highlights coordination between prosecutors and multiple oversight units tracking pandemic relief fraud.
Court filings state that around July 2020 Arvie organized and submitted roughly 100 fraudulent unemployment insurance applications. Investigators allege she recruited friends and family through Facebook to submit these false claims. The scheme targeted multiple state systems at a time when relief programs were under intense strain.
Prosecutors say Arvie filed fake UI claims in states and territories including Arizona, California, Colorado, Hawaii, Indiana, Missouri, Nevada, Pennsylvania, Utah, Texas, and Guam. She reportedly charged clients fees between $1,200.00 and $1,500.00 for filing the claims on their behalf. According to the filings, Arvie obtained $267,612.00 in benefits from California’s Employment Development Department and also lied to federal agents during an interview.
United States District Judge Sarah S. Vance imposed a 52-month federal prison term, followed by three years of supervised release, and ordered payment of a $100 mandatory special assessment fee. The sentence reflects the seriousness of coordinated fraud schemes that exploit emergency programs. Federal courts have been treating pandemic-related financial fraud cases as high priority for deterrence.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal resources across the Department of Justice and partner agencies. That Task Force was set up to enhance efforts to combat and prevent pandemic-related fraud and to coordinate investigations across jurisdictions. Its work supports prosecutors and inspectors general pursuing complex, cross-border schemes.
“The PRAC was established to promote transparency and facilitate coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 20-member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending, including spending via the Paycheck Protection Program (PPP), and Economic Injury Disaster Loan (EIDL) program. This case was also supported by the PRAC’s Pandemic Analytics Center of Excellence, which applies the latest advances in analytic and forensic technologies to help OIGs and law enforcement pursue data-driven pandemic relief fraud investigations.”
Anyone with information about attempted fraud involving COVID-19 can contact the National Center for Disaster Fraud hotline at 866-720-5721 or submit a complaint through the NCDF Web Complaint Form. The prosecution acknowledged assistance from the U.S. Department of Labor Office of Inspector General, the Department of Veterans Affairs Office of Inspector General, the National Unemployment Insurance Fraud Task Force, the Pandemic Response Accountability Committee, the Department of Homeland Security Office of Inspector General COVID Fraud Unit, and the California Employment Development Department. The case was prosecuted by Assistant United States Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
