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ADOL Obtaining Convictions for Unemployment Compensation Fraud

October 06, 2017

Press Releases

FOR IMMEDIATE RELEASE: October 6, 2017
Alabama Department of Labor Obtaining Convictions for Unemployment Compensation Fraud
MONTGOMERY – Alabama Department of Labor Secretary Fitzgerald Washington announced today that the Department has successfully prosecuted several Alabamians for unemployment compensation fraud. The following individuals were charged with a misdemeanor violation of the Alabama Unemployment Compensation Law by making false statements in claims for benefits:
• Morris Gresham, of Lowndesboro, was tried in Lowndes County District Court on October 3, 2017. An investigation by Labor’s Benefit Payment Control Section determined that Gresham received a total of $5,233 in benefits to which he was not entitled.
Gresham pled guilty and was ordered to pay court costs and restitution in the amount of benefits received illegally.
• Chris M. Sexton, of Daleville, was tried in Dale County Circuit Court on May 1, 2017. An investigation by Labor’s Benefit Payment Control Section determined that Sexton received a total of $3,810 in benefits to which he was not entitled.
Sexton pled guilty and was sentenced to one year in jail, which was suspended for one year, pending full restitution, and placed on two years of unsupervised probation. He was fined $500 and ordered to pay court costs and restitution in the amount of benefits received illegally.
The following individuals were charged with Theft of Property, Third Degree:
• David McKinstry, of Irondale, was tried in Jefferson County Circuit Court on June 27, 2017. An investigation by Labor’s Benefit Payment Control Section determined that McKinstry received a total of $2,243 in benefits to which he was not entitled.
McKinstry pled guilty and was sentenced to 13 months in jail, which was suspended, and two years of supervised probation. He was also ordered to pay court costs and restitution in the amount of benefits received illegally.
• Shawn Washam, of Mobile, was tried in Mobile County Circuit Court on September 19, 2017. An investigation by Labor’s Benefit Payment Control Section determined that Washam received a total of $2,358 in benefits to which he was not entitled.
Washam pled guilty and was sentenced to one year in jail, which was suspended for one year and placed
on one year of unsupervised probation. He was also ordered to pay court costs and restitution in the amount of benefits received illegally.
The following individual was charged with Theft of Property, 4th Degree:
• Kevin Barclay, of Talladega, was tried in Talladega County District Court on August 17, 2017. An investigation by Labor’s Benefit Payment Control Section determined that Barclay received a total of $6,727 in benefits to which he was not entitled.
Barclay pled guilty and was ordered to pay restitution in the amount of benefits received illegally.
“Unemployment compensation benefits can serve as a lifeline to those who truly need them,” said Washington. “However, we want to send a message to those who would knowingly defraud the system in order to obtain benefits they aren’t entitled to: This is a crime and you will be prosecuted.”
“Our investigators are continuously working with local District Attorney Offices in order to identify and prosecute those individuals who are committing these crimes. I would also like to remind employers that their timely reporting of new hires is one of the best tools we have to prevent unemployment fraud.”
Suspected unemployment compensation fraud may be reported to the Alabama Department of Labor by calling 1-800-392-8019.
Employers may find more information regarding reporting new hires at http://www.labor.alabama.gov/nh.
The Alabama Department of Labor / The Alabama Career Center System is a partner in Alabama Works, Alabama’s unified workforce system.
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Members of the media needing more information should contact Tara Hutchison at 334-242-8616 / tara.hutchison@labor.alabama.gov
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