Vegas man pleads guilty to jobless benefits scam

canadianbusiness.com
By AP
October 31, 2011

LAS VEGAS (AP) — A Las Vegas man faces up to 35 years in prison after pleading guilty to mail fraud and money laundering.

U.S. Attorney Daniel Bogden says 41-year-old Francisco Garcia must forfeit $4.4 million in cash and five houses after he pleaded guilty to the charges Monday.

Garcia will be sentenced on Feb. 3 and faces $750,000 in fines under the plea agreement.

Garcia and three other men were indicted last year on charges of scamming the state and federal government out of $4.4 million in unemployment benefits.

Authorities allege the men recruited illegal immigrants and promised to help them obtain unemployment benefits in exchange for a share of the benefits.

Garcia then laundered the money by purchasing homes.

The other defendants are scheduled to enter guilty pleas this week.

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