Citrus Heights man admits to $1 million unemployment fraud scheme

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Citrus Heights man admits to $1 million unemployment fraud scheme

Michele Beckwith Acting U.S. Attorney | U.S. Attorney for the Eastern District of California

Deshawn Oshaea Campbell, 36, from Citrus Heights, has admitted guilt to charges of mail fraud and being a felon in possession of a firearm, according to Acting U.S. Attorney Michele Beckwith.

Court records indicate that between June 2020 and December 2020, Campbell conspired with Rochelle Pasley, 34, also from Citrus Heights, to execute a fraudulent scheme. They manipulated the system by filing false unemployment insurance claims with the California Employment Development Department (EDD) for Pandemic Unemployment Assistance under the CARES Act. By illicitly gathering personal information from various individuals, they submitted numerous deceitful claims. These claims falsely asserted that the applicants had recently lost jobs or were struggling to find employment due to the pandemic. However, many of the identities used were not of California residents, rendering them ineligible.

The fraudulent activities included using controlled mailing addresses to receive EDD approvals and subsequently issued debit cards. These cards, mailed by Bank of America, contained more than $1 million in benefits. Campbell and his accomplice then used these cards for personal withdrawals and purchases.

In addition to the fraud charges, Campbell's guilty plea includes a firearm possession charge despite having a previous felony conviction. The case was investigated by the U.S. Postal Inspection Service, Department of Labor's Office of Inspector General, and EDD's Investigation Division. Prosecutors in the case are Assistant U.S. Attorneys Jessica Delaney and Justin Lee.

Campbell's sentencing by U.S. District Judge Daniel J. Calabretta is set for August 7, 2025. He could face up to 20 years in prison and a $250,000 fine for the mail fraud charge, and up to 10 years and a $250,000 fine for firearm possession. The final sentence will be at the court's discretion, factoring in applicable statutory considerations and Federal Sentencing Guidelines.

Pasley is scheduled to be sentenced on June 26, 2025, also by Judge Calabretta. She could face up to 20 years in prison and a $250,000 fine for each count of conspiracy and mail fraud, in addition to a mandatory two-year consecutive term for aggravated identity theft. Her sentence will similarly depend on court discretion informed by statutory factors and guidelines.

This case is part of the California COVID-19 Fraud Enforcement Strike Force operation, led by the U.S. Department of Justice. The strike force targets large-scale pandemic relief fraud using interdisciplinary teams to prosecute those exploiting relief programs.