E. Martin Estrada United States Attorney for the Central District of California | U.S. Attorney's Office for the Central District of California staff
A former college football player from Orange County has admitted to orchestrating a fraudulent scheme that sought over $1 million in pandemic unemployment benefits, obtaining more than $280,000. Abdul-Malik McClain, 24, of Coto de Caza, pleaded guilty to one count of mail fraud.
United States Attorney Martin Estrada commented on the case: “Instead of using his time at a major university to advance his athletic and academic life, this defendant took advantage of a public health emergency to fraudulently obtain government benefits.” He added that his office will continue prosecuting individuals who exploited the pandemic for unlawful gains.
Krysti Hawkins, Acting Assistant Director in Charge of the FBI's Los Angeles Field Office, stated: “Mr. McLain squandered his gifts and opportunities only to defraud taxpayers whose hard-earned money was appropriated for deserving victims during the Covid era.”
McClain's plea agreement reveals he filed fraudulent claims for unemployment benefits while part of his university’s football team. He also assisted other players in filing false claims under the Pandemic Unemployment Assistance program through California's Employment Development Department (EDD). These claims contained misleading information about employment history and job-seeking efforts.
The fraudulent applications led EDD to authorize Bank of America to send debit cards loaded with unemployment benefits to addresses controlled by McClain. These cards were used for cash withdrawals and personal expenses. In some instances, McClain received a portion of these benefits for aiding others in filing false applications.
The fraudulent activity involved at least $1,056,092 in unemployment insurance benefits from EDD and resulted in obtaining at least $283,063 unlawfully.
United States District Judge Michael W. Fitzgerald has scheduled McClain’s sentencing hearing for September 16. He faces up to 20 years in federal prison.
Quentin Heiden from the United States Department of Labor Office of Inspector General remarked: “Abdul-Malik McClain defrauded our nation’s unemployment insurance (UI) system by filing for UI benefits in the names of identity theft victims... The U.S. Department of Labor remains dedicated to its mission to combat UI fraud.”
The investigation involved multiple agencies including the FBI; United States Department of Labor Office of Inspector General; Federal Deposit Insurance Corp.; United States Treasury Inspector General; Social Security Administration; and United States Postal Inspection Service. The university referred as "University 1" cooperated with authorities.
Assistant United States Attorney Kerry L. Quinn is handling prosecution duties for this case.
In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force aiming to enhance efforts against pandemic-related frauds by coordinating resources across government agencies.
Information on attempted COVID-19 related fraud can be reported via the National Center for Disaster Fraud Hotline or online complaint form.
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