SAVANNAH, Ga. — A woman has been convicted in federal court in Georgia for her role in a multi-state scheme that fraudulently obtained hundreds of thousands of dollars in pandemic unemployment benefits.
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According to the U.S. Attorney’s Office for the Southern District of Georgia, Cheryl Galloway,67, of Yulee, Fla., was found guilty of conspiracy to commit mail fraud following a five-day jury trial in Savannah.
Federal prosecutors said Galloway and her co-conspirators spent nearly two years submitting fake unemployment benefit applications in at least 40 states. Authorities said the group falsely claimed to be eligible for pandemic-related unemployment assistance and misrepresented key details on the applications.
Authorities said the scheme resulted in $480,000 in fraudulently obtained benefits, with conspirators trying to secure even more money through deceptive means. Some of the benefits were delivered to Galloway through debit cards sent via the U.S. Postal Service.
Galloway now faces up to 20 years in federal prison, a fine of up to $250,000, and up to three years of supervised release. A sentencing date has not yet been announced.
“Using the postal system to advance a fraudulent scheme in order to enrich yourself will result in the harshest of consequences,” said U.S. Attorney Margaret E. “Meg” Heap. “This case, and many others like it, demonstrate that federal investigators and prosecutors will identify these criminals and hold them accountable.”
The case stems from expanded unemployment programs created under the federal CARES Act in 2020, which provided additional financial assistance to workers affected by the COVID-19 pandemic.
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