As reported in a Dec. 12, 2011 Minden Press-Herald story, eight suspects of the ring were arrested in November and December.
Since then, 13 more have been arrested, netting 21 of the ring for a suspected fraud total of $384,218.
"Rings like this are fairly rare," Louisiana Workforce Commission Executive Director Curt Eysink said. "We have discovered where in the past an employee thinks they've figured out a way to defraud the system and get away with it. They tell their buddy about it, and their buddy tells a buddy and maybe it spreads to a few people before it's discovered.
"Sarepta is a unique circumstance," he said.
The most recent suspect arrest dates, names and suspected fraud amounts are:
Dec 12, 2011 – Pamela D. Lewis of Cotton Valley, $20,480
Dec 12, 2011 – Dianna D. Shaw of Cotton Valley, $6,934
Dec 12, 2011 – Lanesha R. White of Cotton Valley, $19,704
January 4 – Regina G. Holland of Cullen, $15,483
January 5 – Marvin R. White of Cotton Valley, $6,263
January 11 – Lou D. Johnson of Taylor Arkansas, $15,258
January 11 – Pamela L. Minnifield of Shongaloo, $26,070
January 11 – Norshica D. Watts of Haynesville, $21,879
January 13 – Latecha L. Mack of Springhill, $17,344
January 17 – Lorraine Mickens of Springhill, $7,194
January 17 – Kindra D. Thompson of Cullen, $10,114
January 18 – Fershunda Burns of Homer, $16,686
January 18 – Joyce M. Ivory of Homer, $11,430
"We do have a cutting-edge detection system, but this was discovered before that came online properly," Eysink said. "What happened was one of these employees, who was improperly receiving benefits or filed a claim for benefits, appealed because they got an adverse determination from us for one reason or another.
"The appeal hit higher on their employer's radar than just the usual claims," he continued. "They noticed that the person shouldn't be appealing because they were still working. Then we started working with that employer to go through their records to match up those who were claiming and those who were working. That's how this was discovered."
Eysink also said that similar fraud could be avoided or stopped early by employers if they are diligent about checking claims charged to them and reporting employees' employment status changes promptly and accurately.
Two warrants are outstanding and according to Eysink the 24th suspected ring member is participating in a pre-trial intervention program.
Upon successful participation and completion of the program, eligible offenders may avoid a conviction on their record and continue to work and support themselves and their families.
"We insist on full restitution from anyone who has committed fraud on us," Eysink said. "Even if it's a payment plan, they have to pay us back."
He also said anyone who receives undue benefits – whether through fraud or mistake – must make restitution. Anyone who contacts LWC on their own, works out a restitution plan and sticks to it can avoid criminal charges.
"In Louisiana we're very fortunate right now because we have on balance the lowest unemployment insurance tax rate in the country, according to the federal government," Eysink said. "Our trust fund is in the top three in the country. So we have low taxes and a strong fund.
"The only way we can maintain those two very positive measures is by protecting the fund," he continued, "so that people who are eligible get paid the right amount quickly, get back to work and get off benefits and that those who are not eligible are not paid benefits."
Since April 2011, a joint LWC and Louisiana Attorney General's Office taskforce with the assistance of various local law enforcement agencies has arrested 73 suspects statewide for a total of $801,345 in suspected fraud.
LWC has combined resources within its Office of Unemployment Insurance Administration and the Office of Workers' Compensation Administration to create a toll-free hotline and a web portal for reporting suspected fraud.
Suspected fraud can now be reported by calling 1-800-201-3362, or by visiting www.laworks.net and clicking "Report Fraud."
Examples of fraud include employees who aren't eligible but who collect workers' compensation or unemployment insurance benefits.
Other kinds of fraud occur when employers do business without carrying the required workers' compensation coverage, or when they try to avoid paying their unemployment insurance taxes by improperly classifying employees as independent contractors.
