Norfolk man sentenced for stealing COVID-19 relief funds using stolen identities
NORFOLK, Va. (WAVY) — A Norfolk man was sentenced Wednesday to five years and ten months in prison for using other people's identities to steal COVID-19 pandemic relief funds.
According to a release from U.S. Attorney Erik Siebert, Dwaynald Darion Gibbs filed dozens of claims at the Virginia Employment Commission (VEC) during the COVID-19 pandemic. The VEC was responsible for administering unemployment insurance to workers impacted by the pandemic in Virginia.
Gibbs was approved for approximately $658,966 in unemployment insurance benefits.
The fraudulent claims were identified after a review discovered multiple applications had similarities, such as the name 'Legends' or 'Legends Barbershop' as the former employer, mailing addresses associated with Gibbs and the same telephone number. Many of the claims were additionally submitted from the same internet protocol address.
Gibbs pled guilty to mail fraud and aggravated identity theft on December 5, 2024.
Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
'Catastrophic:' sting urged over Star's myriad breaches
The Star has been named as a worse offender than Crown in breaking anti-money laundering compliance laws by letting high-risk gamblers funnel billions through its casinos. As financial watchdog AUSTRAC seeks $400 million in penalties against The Star in the Federal Court, the company has cried poor saying that an amount this large would push it into administration. Lawyers for the government agency pushed for a hefty fine on Tuesday, saying the casino operator and others in the industry should be deterred from similarly lax controls on potentially dirty money. "The sting must be there in the penalty, it must maintain its deterrent effect," barrister Joanne Shepard said, as a hearing continued. The Star has pointed to recent financial struggles, arguing it was only able to pay a fine of $100 million. In contrast, Crown agreed to pay a $450 million fine in May 2024 for similar money-laundering breaches. This amount was a "benchmark" which could be used to determine how much The Star could pay, AUSTRAC barrister Simon White SC argued. "The conduct in this case is measurably worse than that in Crown," he said. The Star's breaches were deliberate, he argued, in contrast to Crown. Management at The Star continued to engage with high-risk gamblers without proper controls and risk assessments in place despite clear findings revealed in a public inquiry into Crown, Mr White said. About $138 billion in cash turnover had come in solely through junkets with an additional $20 billion sourced from high-risk customers, Mr White said. "$138 billion just from junkets coming through the casino environment is potentially catastrophic in so many ways Your Honour," he told Justice Cameron Moore. The business had benefited from the breaches bringing in almost $1.3 billion in revenue through junkets at its Sydney and Queensland casinos and at least $1.33 billion more through high-risk gamblers. Additionally, very significant volumes of high-risk cash were pushed through its slot machines, the court was told. While a projected $343 million was expected to be paid to make The Star's anti-money laundering systems compliant, this should have been an expense made years ago, Mr White said. And without the proper measures in place, the casino had an unfair competitive advantage over its rivals, he noted. Earlier on Tuesday, Ms Shepard argued against The Star's claims of financial distress. She pointed out that a "white knight" had recently emerged with US gaming giant Bally's Corporation promising to inject $300 million into the firm. The casino could raise further capital, look into debt refinancing or dip into almost $60 million set aside from the sale of its Treasury Brisbane business, she told Justice Moore. In the 2017, 2018 and 2019 financial years, The Star had brought in $2.4 billion to $2.5 billion in annual revenue, Ms Shepard said. In the first two years of the COVID-19 pandemic, the firm's revenue never dipped below $1.5 billion, she added. An independent expert report released in May valued The Star between $1.17 billion and $1.38 billion with liabilities of about $490 million, the court was told. The hearing continues. Error in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
3 hours ago
- Yahoo
1 dead, at least 2 others hurt after homemade fireworks cause explosion at Ohio home
A man is dead and two others are hurt after homemade fireworks reportedly caused an explosion at a home in Trumbull County over the weekend, according to our CBS affiliate WOIO-19 TV. [DOWNLOAD: Free WHIO-TV News app for alerts as news breaks] The explosion occurred at a home in the 500 block of East Montrose Street in Liberty Township before 9:30 p.m. on Saturday. Liberty Township firefighters found heavy damage when they arrived on scene, but they couldn't find what caused the explosion. A report from the fire department states that crews found three victims and one was stilled trapped inside the house. TRENDING STORIES: Invasive stinging insect that could cause death spotted in Ohio Authorities looking for 3-year-old girl believed to be taken by grandmother Brand new aviation video shows man throwing wood at deputies, causing wrong-way crash on I-75 Firefighters were able to get everyone out of the house and medics took them to the hospital. Justin Braun, 34, died in the explosion and a 28-year-old and 4-year-old were hospitalized with critical injuries, WOIO-19 reported. The fire department said a woman took herself to an area with injuries related to the explosion. The Ohio State Fire Marshal's Office told WOIO-19 that the occupants made homemade fireworks inside, which possibly caused the explosion. WOIO-19 obtained the following statement from the State Fire Marshal Office: The Ohio State Fire Marshal urges everyone to not try to make homemade fireworks or tamper with fireworks they have purchased. This incident is a tragic reminder of how dangerous this can be. The chemical mixtures and materials used in fireworks are extremely volatile and dangerous. When it comes to manufacturing fireworks, its best to leave it to the professionals. Jarrod Clay, Public Information Officer at the Ohio Department of Commerce [SIGN UP: WHIO-TV Daily Headlines Newsletter]
Yahoo
4 hours ago
- Yahoo
Raleigh County man pleads guilty to COVID-era business loan fraud
beckley – A Raleigh County man is awaiting sentencing in U.S. District Court after entering a guilty plea for theft of government money. United States Magistrate Judge Omar J. Aboulhosn presided over the hearing on June 2 in which Ross Jay Bailey, 50, of Cool Ridge, pleaded guilty to obtaining a $2 million loan through the Coronavirus Aid, Relief, and Economic Security Act for his business and then converting at least $1.4 million in funds to 'his personal enrichment,' states a news release from the U.S. Department of Justice. On or about June 30, 2020, Bailey obtained a $150,000 Economic Injury Disaster Loan for his business, R&R Delivery Service Inc. The CARES Act authorized the Small Business Administration to provide EIDL program loans of up to $2 million to eligible small businesses that were experiencing 'financial disruption due to the COVID-19 pandemic,' according to court documents and statements made in court 'Bailey successfully applied to increase the loan amount in August 2021 to $500,000 and in February 2022 to the $2 million maximum. Bailey certified that he would use all loans proceeds solely as working capital to alleviate economic injury caused by the pandemic,' states the news release. Court officials said Bailey admitted that he transferred at least $1.4 million of the EIDL proceeds from his business's bank account to his personal bank account from on or about March 1, 2022, through on or about May 31, 2022, as a condition of his guilty please. 'Bailey further admitted that he converted these funds into purchases of stock and cryptocurrency for his personal enrichment,' the release continues. Bailey is scheduled to be sentenced on Oct. 10 and faces a maximum penalty of 10 years in prison, up to three years of supervised release and a $250,000 fine. Bailey also owes at least $1.5 million in restitution, with a final amount to be determined by the Court. Acting United States Attorney Lisa G. Johnston commended the investigative work of the National Aeronautics and Space Administration Office of Inspector General, the US Secret Service, the West Virginia State Police-Bureau of Criminal Investigations and the West Virginia State Auditor's Office Public Integrity and Fraud Unit. Bailey's brother, Ryan Keith Bailey, 47, of Beaver, pleaded guilty on May 7 to theft of government money. Ryan Keith Bailey obtained $2,166,517.40 in loans through the CARES Act for his business and instead converted nearly all of the proceeds for his personal use. He is scheduled to be sentenced Sept. 12. Mark William Bailey, 52, of Beckley and a cousin of Ross Jay Bailey and Ryan Keith Bailey, pleaded guilty on Sept. 8, 2023, to theft of government money, after he admitted he stole approximately $451,237.51 in SBA loans he obtained through the CARES Act. On October 25, 2024, Mark William Bailey was sentenced to five years of federal probation, including one year on home detention, and paid $451,237.51 in restitution and an additional $451,237.98 as a civil penalty to settle False Claims Act allegations. NASA OIG is an active member of the Pandemic Response Accountability Committee Fraud Task Force, which was created to promote transparency and facilitate oversight of the federal government's COVID-19 pandemic response. The PRAC's 20 member Inspectors General identify risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending, which includes funds awarded via the Paycheck Protection and EIDL programs. This case was also supported by the PRAC's Pandemic Analytics Center of Excellence, which applies the latest advances in analytic and forensic technologies to help OIGs and law enforcement pursue data-driven pandemic relief fraud investigations. Assistant United States Attorney Erik S. Goes is prosecuting the case. Individuals with information about allegations of fraud involving COVID-19 are encouraged to report it by calling the Department of Justice's National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at
