Former State Contractor Convicted For Unemployment Fraud

DETROIT — A former state contractor from Detroit was convicted Thursday for her role in a multi-million dollar unemployment insurance fraud scheme, Acting United States Attorney Saima Mohsin said.

Brandi Hawkins, 40, was sentenced to 58 months in federal prison and has to pay $3,793,186 in restitution to the State of Michigan, according to a news release.

"Brandi Hawkins used her position as a contractor with the state of Michigan to manipulate the unemployment insurance system to benefit herself and her co-conspirators," Timothy Waters, Special Agent in Charge of the FBI's Detroit Division said. "The FBI is proud to work with our law enforcement partners to hold wrongdoers accountable and to protect the integrity of vital federal assistance programs."

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As a contract employee for the State of Michigan Unemployment Insurance Agency, Hawkins collaborated with others outside the agency to file false claims - which some were filed with stolen identities - between April and June 2020, the news release said.

Hawkins then received bribes for releasing the claims, which she used to purchase high-end handbags and other luxury goods, the news release said.

Officials also said they recovered over $200,000 in cash during a search warrant at Hawkins' residence, the news release said.

The fraudulent claims Hawkins released amounted to nearly $3.8 million, which she owes in restitution. The total amount would have been over $12 million if she processed all of the fraudulent claims, the news release said.