An Inglewood woman, Selena Stewart, has been arrested following a federal grand jury indictment accusing her of fraudulently obtaining over $1.3 million in COVID-19 relief funds. The indictment alleges that Stewart submitted more than 100 fraudulent applications for unemployment insurance (UI) benefits using stolen identities, including those of California state prisoners.
Stewart, aged 45, was arraigned on Wednesday and pleaded not guilty to multiple charges: 10 counts of mail fraud, one count of unauthorized access device use, two counts of aggravated identity theft, and one count of possessing at least 15 unauthorized access devices. Her trial is set for August 26.
The indictment details a scheme from March to December 2020 involving Stewart and co-defendants Toby Brazier and Tony Queen. They allegedly filed fraudulent UI benefit applications with the California Employment Development Department (EDD), using personal information obtained without consent. These applications falsely claimed that applicants were negatively impacted by the pandemic and had worked in California.
As a result, EDD authorized Bank of America to issue debit cards under false names. The defendants reportedly used these cards for cash withdrawals and purchases, causing losses exceeding $1.3 million to EDD and the U.S. Treasury.
Brazier remains a fugitive while Queen faces similar charges and is expected in court next week. If convicted, Stewart could face severe penalties including up to 20 years in prison per mail fraud count.
The investigation involves several agencies including the U.S. Department of Labor Office of Inspector General and the California Employment Development Department Investigation Division. Prosecutors Clifford Mpare and Christina Lopez are handling the case.
The public is encouraged to report any COVID-19 related fraud attempts through the National Center for Disaster Fraud Hotline or their online complaint form.
