Final defendant sentenced for role in southwest Virginia pandemic unemployment fraud scheme

Zachary T. Lee Acting United States Attorney - U.S. Attorney for the Western District of Virginia
Zachary T. Lee Acting United States Attorney - U.S. Attorney for the Western District of Virginia
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The last defendant in a 17-person conspiracy involving fraudulent pandemic unemployment claims has been sentenced in U.S. District Court in Abingdon, Virginia. On October 9, 2025, Jason Dale Worley of Meadowview received a sentence of 12 months and one day in prison for filing a fraudulent claim for pandemic unemployment benefits. He was also ordered to pay $9,698 in restitution to the Virginia Employment Commission.

Crystal Shaw, identified as one of the lead organizers of the scheme, was previously sentenced to 60 months in federal prison and ordered to pay $287,459 in restitution. Fifteen other co-defendants received sentences ranging from 12 months and one day up to 48 months. Jonathan Webb, who recruited others—primarily inmates at local jails—to file fraudulent claims, was sentenced to 48 months and ordered to pay $150,218 in restitution. Josef Brown, another recruiter among incarcerated individuals, received a sentence of 35 months and must pay $119,660.

The total amount stolen by all defendants amounted to $341,205 in pandemic relief funds. All were ordered to repay the Virginia Employment Commission for the fraudulent claims.

Court documents state that between March 2020 and September 2021, Josef Brown, Jonathan Webb, and Crystal Shaw developed a plan to submit false claims using personal identification information from inmates at SWVRJA-Haysi and Abingdon facilities as well as friends and acquaintances. These actions allowed them to secure benefits for people who were not eligible.

The investigation was led by the Special Inspector General for Pandemic Recovery as part of the Pandemic Response Accountability Committee (PRAC) Task Force. The PRAC includes Inspectors General from multiple agencies tasked with detecting fraud across more than $5 trillion spent on COVID-19 relief programs. According to the United States Department of Labor, approximately $1.1 billion in fraudulent unemployment claims were paid out by Virginia between April 2020 and March 2021.

“Acting United States Attorney Robert N. Tracci, Ian Kaufman, Special Agent in Charge of the FBI’s Richmond Division, Syreeta Scott, Special Agent in Charge, Mid-Atlantic Region, U.S. Department of Labor’s Office of Inspector General (DOL-OIG), and Virginia Attorney General Jason Miyares announced the sentences.”

Agencies involved included the Dickenson County Sheriff’s Office, Southwest Virginia Regional Jail Authority, FBI, U.S. Department of Labor Office of Inspector General, and Virginia Employment Commission.

“Special Assistant United States Attorney M. Suzanne Kerney-Quillen, a Senior Assistant Attorney General and Deputy Section Chief of the Virginia Attorney General’s Major Crimes and Emerging Threats Section, and Assistant United States Attorney Danielle Stone are prosecuting the case for the United States.”



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