A Detroit man has been bound over to stand trial after state prosecutors say he used at least a dozen stolen identities to collect more than $400,000 in unemployment and pandemic rental aid, with formal charges filed and court dates set.

A Detroit man faces criminal trial on allegations of identity theft, unemployment fraud, and rental assistance fraud in Michigan. Stanley Butts, 58, was bound over on April 27 to stand trial in the 3rd Circuit Court in Wayne County, according to the Michigan Attorney General’s office. The case was referred to the Department of Attorney General by the Unemployment Insurance Agency and the Michigan State Housing Development Authority. Court proceedings are now moving forward after the preliminary screening.

Prosecutors allege Butts used the personal information of at least 12 different people to file fraudulent claims and applications. The charges say those false claims produced more than $300,000 in Unemployment Insurance Agency benefits and more than $100,000 in COVID Emergency Rental Assistance payments. Those figures represent the sums state investigators attribute to the alleged scheme across both benefit streams. The referral by UIA and MSHDA triggered the attorney general’s involvement and the subsequent criminal filing.

Attorney General Dana Nessel commented on the case in a prepared statement, preserving the exact language used by the office. “Exploiting programs meant to support struggling Michiganders by committing identity theft depletes resources for those in need and harms innocent victims. I am pleased this case has moved forward to trial,” said Attorney General Nessel. “My office will continue working with the UIA and MSHDA to pursue those who commit fraud and abuse taxpayer funds.”

Butts was charged in January with multiple felony counts and identity-related offenses that span a range of alleged losses. The formal charges include high-level false pretenses counts tied to amounts over statutory thresholds and multiple counts of identity theft and computer-related offenses. Prosecutors have emphasized the variety of charges to reflect alleged different episodes or methods used to obtain benefits. The list of charges laid out by the attorney general provides the backbone of the criminal case that will be tested in circuit court.

• One Count of False Pretenses – $100,000 or more, a 20-year felony;
• Three Counts of False Pretenses – $50,000 or more but less than $100,000, a 15-year felony;
• Two Counts of False Pretenses – $20,000 or more but less than $50,000, a 15-year felony;
• Twelve Counts of Identity Theft, a 5-year felony; and
• Two Counts of Using a Computer to Commit a Crime, one a 20-year felony and one a 10-year felony.

Officials from the Unemployment Insurance Agency outlined the broader consequences they see when fraud reaches this scale. “Identity theft’s impact is felt far beyond a bad actor’s selfish actions against Michigan’s Unemployment Insurance Agency. It can steal financial security from victims, impact the bottom line of businesses that pay into the state’s unemployment program, and erode public confidence in a vital service for residents who lose their jobs,” said Jason Palmer, Director of the Michigan Unemployment Insurance Agency (UIA). “UIA is an eager partner with all law enforcement agencies to bring fraudsters to justice and protect the integrity of this essential benefit for workers.”

The investigation and prosecution were carried out under a formal agreement between the Department of Attorney General and the Michigan State Housing Development Authority. That Memorandum of Understanding authorizes coordinated probes into the alleged fraudulent stealing of housing funds and related benefits. The MOU is set to expire December 31, 2026, unless renewed by MSHDA, which frames the window for joint enforcement activity under this arrangement. Officials say the agreement helped streamline the investigation and the transfer of evidence between agencies.

At arraignment, MSHDA leadership stressed the stakes for families who relied on emergency rental help during the pandemic. “Identity theft and fraud undermine the integrity of critical support systems that families rely on in times of need,” said Amy Hovey, CEO and Executive Director of the Michigan State Housing Development Authority, at the time the defendant was arraigned. “MSHDA administered the COVID Emergency Rental Assistance program during the pandemic to help keep Michiganders safely housed, and we appreciate Attorney General Nessel’s continued work to hold accountable anyone who attempted to exploit those resources for personal gain.”

The defendant’s next scheduled court appearance is the Circuit Court Arraignment on May 11 in the 3rd Circuit Court. From arraignment the case will move through standard pretrial procedures, where prosecutors must present their evidence and defense counsel will respond. If the matter proceeds to trial, jurors will be asked to weigh the allegations against the evidence developed by the investigative teams. The court calendar will determine the pace and timing of those next steps.