6 Rhode Islanders Charged With COVID-19 Unemployment Fraud

PROVIDENCE, RI — Six Rhode Island residents are accused of defrauding federal unemployment benefits across several states, filing fake claims online.

According to acting Rhode Island Attorney General Peter Neronha, the claims totaled tens of thousands of dollars, including both regular unemployment insurance and the expanded benefits approved by the federal government during the height of the coronavirus pandemic. In the claims, the six accused people claimed to have been previously employment in the states where they sought benefits, despite being unemployed at the time.

On Wednesday, a federal grand jury released four indictments with the following charges.

Francois Parker, 35, of Providence: Charged with two counts of wire fraud, one count of theft of government money, and two counts of possession of a firearm by a prohibited person.

Parker is accused of submitting false unemployment claims in Rhode Island, California, Arizona, Louisiana, Colorado, Texas, New York, Virginia, Wisconsin, Nevada and Massachusetts from April to October 2020. In the Rhode Island claims, he said he was working as a babysitter from May 2019 to March 2020, the indictment alleged.

In total, Parker received more than $77,000 from six states. His claims were denied by four others.

Derrick Gadson, 35, of North Providence: Charged with two counts of wire fraud and one count each of theft of government property and aggravated identity theft.

Gadson is accused of filing claims in Rhode Island, Massachusetts and Arizona, collecting about $27,000 in fraudulent benefits. The indictment also accuses him of using a stolen identity in at least one of the claims.

His indictment alleges that beginning in June 2020, Gadson fraudulently submitted online applications for unemployment insurance benefits and other federal pandemic benefits in Rhode Island, Arizona, and Massachusetts. It is alleged that Gadson collected a total of approximately $27,875 dollars in benefits that he was not entitled to receive.

Rashaad Smith Muskelly, 30, of Lincoln: Charged with two counts of wire fraud and one count each of theft of government money and possession of a firearm by a prohibited person.

Muskelly is accused of filing fraudulent claims starting in April 2020 in Rhode Island, California, Arizona, New York, Texas, Virginia, Nevada and Massachusetts. When filing in Rhode Island, Muskelly reportedly told the Department of Labor and Training that he was a "travel barber," collecting about $14,000 in benefits. The FBI and Rhode Island State Police determined he received a total of over $82,000 in ill-gotten unemployment benefits.

Jamel Newman, 23, of Pawtucket, Darren Robinson, 21, of Providence and Rashaad Hill, 21, of Providence: The three were named in a sixteen-count indictment charging each with conspiracy, wire fraud, theft of government funds, and aggravated identity theft.

Newman, Robinson and Hill are accused of filing fake claims in Claifornia, Arizona, Nevada and Massachusetts starting in April 2020. They are accused of using stolen names and personal information in the claims.

The Rhode Island State Police and FBI are working together to investigate the fraudulent claims, in partnership with the U.S. Department of Labor. Any Rhode Islanders who believe their identity was used for a fraudulent unemployment claim is urged to reach out to financialcrimes@risp.gov or the FBI Providence office at (401) 272-8310.