Complaint Investigation Report

Investigator Bureau (IB) Investigator Dennis Seng conducted the investigation. During the investigation, IB investigator Seng interviewed staff, clients, witnesses, and other collateral agencies in relation to the alleged fraud and identity theft. Interviews with Department of Homeland Security (HSI), Employment Development Department (EDD) and United States Postal Office -Inspector General (USPS-IG) all corroborated each other’s statements. The previous licensee was arrested for Unemployment Insurance and Disability Insurance fraud during the period 2020 through 2024. On 01/02/2025 the previous licensee pleaded guilty to charges of fraudulently using the identities and personal information of other individuals to file Unemployment Insurance (UI) and Disability Insurance (DI) claims through EDD. Three (3) out of four (4) facility staff did not corroborate the allegation, staff stated they were made aware of the previous licensee’s involvement during the execution of the Federal Authority search warrant on the facility. Four (4) out of four (4) clients could not confirm this allegation, the clients were not aware of the previous licensee’s conduct and/or misconduct.

In November 2024, the previous licensee applied for a change of owner to remove the previous licensee from the corporation.

The investigation revealed sufficient evidence to prove that the previous licensee was responsible for Conduct Inimical due to filing fraudulent claims with EDD for unemployment and disability insurance.

Based on records reviewed, evidence collected, and interviews conducted the preponderance of evidence standard has been met, therefore the above allegations are found to be substantiated.