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Detroit Man Charged for Allegedly Committing Identity Theft to Obtain $400,000 in Unemployment Benefits, Rental Assistance
April 30, 2026
LANSING – Stanley Butts, 58, of Detroit, was bound over to stand trial in the 3rd Circuit Court in Wayne County on April 27 for allegedly stealing multiple identities to fraudulently obtain more than $400,000 in unemployment benefits and rental assistance, announced Michigan Attorney General Dana Nessel. Butts was charged in January with:
- One Count of False Pretenses - $100,000 or more, a 20-year felony;
- Three Counts of False Pretenses - $50,000 or more but less than $100,000, a 15-year felony;
- Two Counts of False Pretenses - $20,000 or more but less than $50,000, a 15-year felony;
- Twelve Counts of Identity Theft, a 5-year felony; and
- Two Counts of Using a Computer to Commit a Crime, one a 20-year felony and one a 10-year felony.
It is alleged that Butts used the personal information of at least 12 different individuals to fraudulently obtain more than $300,000 in Unemployment Insurance Agency (UIA) benefits and more than $100,000 in COVID Emergency Rental Assistance payments from the Michigan State Housing Development Authority (MSHDA). This matter was referred to the Department of Attorney General by UIA and MSHDA.
“Exploiting programs meant to support struggling Michiganders by committing identity theft depletes resources for those in need and harms innocent victims. I am pleased this case has moved forward to trial,” said Attorney General Nessel. “My office will continue working with the UIA and MSHDA to pursue those who commit fraud and abuse taxpayer funds.”
“Identity theft’s impact is felt far beyond a bad actor’s selfish actions against Michigan’s Unemployment Insurance Agency. It can steal financial security from victims, impacts the bottom line of businesses that pay into the state’s unemployment program, and erodes public confidence in a vital service for residents who lose their jobs,” said Jason Palmer, Director of the Michigan Unemployment Insurance Agency (UIA). “UIA is an eager partner with all law enforcement agencies to bring fraudsters to justice and protect the integrity of this essential benefit for workers.”
“Identity theft and fraud undermine the integrity of critical support systems that families rely on in times of need,” said Amy Hovey, CEO and Executive Director of the Michigan State Housing Development Authority, at the time the defendant was arraigned. “MSHDA administered the COVID Emergency Rental Assistance program during the pandemic to help keep Michiganders safely housed, and we appreciate Attorney General Nessel’s continued work to hold accountable anyone who attempted to exploit those resources for personal gain.”
The investigation and prosecution of this case was pursuant to a Memorandum of Understanding (MOU) executed between the Department of Attorney General and the Michigan State Housing Development Authority to investigate and prosecute the fraudulent stealing of housing funds. The MOU is set to expire December 31, 2026, unless renewed by MSHDA.
Butts will next appear in the 3rd Circuit Court on May 11 for his Circuit Court Arraignment.
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Please note: For all criminal proceedings, a criminal charge is merely an allegation. The defendant is presumed innocent unless and until proven guilty. The Department does not provide booking photos.
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