A former U.S. Department of Labor employee has been indicted on charges of wire fraud for allegedly obtaining more than $40,000 in pandemic unemployment assistance (PUA) benefits to which he was not entitled.
Mo Yuong Kang, 50, who previously lived in Woburn and Dracut, Massachusetts, is accused of submitting a false application for PUA benefits in April 2020 while employed full-time by the Department of Labor’s Occupational Safety and Health Administration. At the time, Kang reportedly earned $86,667 in 2020 and $90,738 in 2021.
The indictment states that Kang claimed he was “self-employed, an independent contractor, or a gig worker and COVID-19 has severely limited [his] ability to perform [his] normal work,” further stating under penalty of perjury that he had not earned more than $89 a week since March 8, 2020. Based on these statements and subsequent weekly certifications through September 2021—allegedly asserting that he did not work or receive any income during those periods—the Division of Unemployment Assistance approved his claim. According to prosecutors, Kang received $45,868 in PUA benefits as a result.
Wire fraud carries a potential sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentencing decisions are made by federal district court judges based on the U.S. Sentencing Guidelines and relevant statutes.
United States Attorney Leah B. Foley announced the charges along with Jonathan Mellone, Special Agent in Charge at the U.S. Department of Labor Office of Inspector General (Northeast Region), and Christopher Silvestro, Special Agent in Charge at the Defense Criminal Investigative Service (Northeast Field Office). Assistant U.S. Attorney Kristina E. Barclay is prosecuting the case.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was established in March 2020 to provide financial relief during the COVID-19 pandemic by creating programs such as PUA for workers who were not eligible for standard unemployment insurance. In Massachusetts, claimants were required to certify their employment status when applying for these benefits.
Officials emphasized that all details contained within the charging document are allegations and that “the defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.”
