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Published on February 11, 2025
Pair Convicted in $533K California Unemployment Fraud Scheme, Sacramento Man Sentenced to 6 YearsSource: Google Street View

Two individuals have faced the music for their involvement in a scam defrauding the state's unemployment system. In a recent conviction, Cedric Daniels and Allison Illahi admitted to orchestrating a scheme that siphoned off more than half a million dollars from the Employment Development Department (EDD). The Sacramento County District Attorney's Office reported the duo's guilty plea to EDD fraud and possession of narcotics with intent to sell.

Sentencing handed down by the Honorable Satnum Rattu last Thursday saw Daniels hit with 6 years in the clink and a bill of restitution amounting to $533,282. In a similar vein, Illahi previously received an equal dose of justice. During the investigation, which started back in 2020 by the California Department of Corrections and Rehabilitation, Daniels had the misfortune of being caught with multiple contraband cellular phones. With multiple cellular phones found in Daniels' prison cell on March 4, 2021, investigators pried open Pandora's box of EDD fraud communications with Illahi using inmate details.

It wasn't until August 23, 2021, that law enforcement, armed with a search warrant, descended on Illahi's residence. The search uncovered not just narcotics, but firearms, ammunition, and paraphernalia central to the fraud operation. From EDD claim forms to ledgers that tracked the illegitimate claims, they unearthed a treasure trove of evidence - including personal information lifted from inmates employed in the scheme. The two, Daniels and Illahi, had effectively pilfered roughly $533,282 in unemployment benefits, a heist carried out from behind bars and beyond.