Skip to main content
Labor and Economic Opportunity

Detroit man sentenced to 36 months of probation, $78,916 in restitution, for unemployment insurance fraud

Contact: Lynda Robinson

LANSING, Mich. – The Talent Investment Agency announced today that a Detroit man was sentenced by U.S. District Judge Bernard A. Friedman, on May 7, 2019, to 36 months of probation, and ordered to pay $78,916 in restitution, for participating in a scheme to defraud the state unemployment insurance program in Michigan.

According to court documents, and statements made in court, Frederick T. Jackson, 30, of Detroit, knowingly conspired and agreed to commit mail fraud to obtain unemployment insurance benefits to which he was not entitled.  Jackson used debit cards containing unemployment insurance benefits that were sent through the US Postal Service to various Metro Detroit addresses.  Jackson, and a co-conspirator, caused unemployment benefits to be fraudulently issued by submitting false employer and employment information to the State of Michigan Unemployment Insurance Agency.

Jackson conspired with Charles H. Alexander, 54, also of Detroit, who was sentenced on December 13, 2018 to 36 months in prison and $330,561 in restitution.  As part of the scheme, Alexander obtained personal identifying information of third parties and caused unemployment benefits to be issued in the names of those third parties—even though those individuals had no legitimate entitlement to such benefits.  Alexander also impersonated others in order to withdraw fraudulently obtained unemployment insurance benefits.

“Frederick Jackson and his co-conspirators defrauded the Michigan Unemployment Insurance Agency by falsely obtaining and using debit cards containing over $330,000 in unemployment insurance benefits issued in the names of claimants who were not entitled to such benefits,” Tim Kolar, state office administrator of Investigations for Michigan’s Unemployment Insurance Agency, said.  “We will continue to work with our law enforcement partners, and other enforcement agencies, to protect the integrity of the unemployment insurance benefits program in Michigan, and we will remain vigilant in prosecuting criminals who cause harm to employers and the residents of Michigan.”

This matter was investigated by the Unemployment Insurance Agency Investigations Division, led by regulation agent Kurt Eggly, with assistance from U.S. Department of Labor – Office of Inspector General, and was prosecuted by Assistant United States Attorney Andrew J. Yahkind.
About The Talent Investment Agency (TIA)
TIA is the agency that combines Michigan Unemployment Insurance and Workforce Development, and is responsible for their activities. Businesses need a talented workforce. Workers need the right skills to compete for available jobs. TIA programs are focused on job preparedness, career-based education, worker training, employment assistance and unemployment insurance. Please visit our website to see all that we offer.