Karin L. Contreras sentenced for COVID-19 unemployment fraud

Karin L. Contreras has been sentenced to 27 months in prison for her role in a scheme to fraudulently obtain more than $1 million in unemployment benefits during the COVID-19 pandemic. The sentencing, handed down by U.S. District Judge Beryl A. Howell in Washington, D.C., also includes two years of supervised release and a requirement to pay $551,674.78 in restitution.

Between June 2020 and March 2021, Contreras conspired with others to use stolen personal information to file fraudulent unemployment claims. These claims resulted in the issuance of prepaid debit cards containing over $1 million in benefits. Most of these cards were mailed to a Washington, D.C. address located next to Contreras's residence.

Contreras and her accomplices withdrew funds from the cards, often in $1,000 increments, which was the maximum daily limit allowed by ATMs. Federal prosecutors had originally requested a 41-month prison sentence.