Beverly Hills Police Uncover $1M More In Unemployment Scam

BEVERLY HILLS, CA — Beverly Hills police say they have now arrested 87 people allegedly connected to EDD fraud and identity theft.

Detectives say they have recovered 181 fraudulent EDD cards, a debit card in California carrying unemployment benefits, valued over $3.6 million. Just last week, Beverly Hills police announced that they had located 129 fraudulent cards worth over $2.5 million, which resulted in 44 arrests.

Police also found another $466,000 and seven handguns.

Beverly Hills Police Department spokesperson Lt. Max Subin said that 80 percent of suspects were from out of state, and used the cards to rent AirBnbs and buy shoes, clothing, and purses. Investigators say that suspects were able to go to the EDD website and apply for unemployment benefits under pseudonyms, often of people who are dead, in jail, or in nursing homes.

The Employment Development Department announced a two-week reset period to reduce fraud. During the reset, those looking to submit new unemployment claims will be redirected to a temporary website.

The Beverly Hills Police Department said that it met with local, state, and federal law enforcement agencies to combat the issue, including the LAPD, the LA County Sheriff's Department, California Highway Patrol, the United States Secret Service, the U.S. Postal Inspector's Office, the U.S. Department of Labor, and the IRS.

Last Wednesday, Gov. Gavin Newsom said a report is due in a few days from a team appointed to overhaul the agency, and that it will be released once the EDD tells his office what it will do based on these recommendations.

Anyone with information about the crime trend or is receiving unsolicited correspondence from the BHPD is urged to call the Beverly Hills Police Department at 310-285-2125.