Queens men indicted in $2M unemployment and COVID-19 benefits fraud scheme
Queens, NY — Two St. Albans residents are facing sweeping charges after investigators say they orchestrated a massive fraud operation that stole more than $800,000 in pandemic unemployment benefits and, in one case, siphoned over $1.2 million from private brokerage accounts.
Queens District Attorney Melinda Katz announced the indictments of Kareem Reeves, 36, and Michael Robertson, 35, following a multi-year investigation by the DA’s Major Economic Crimes Bureau, the U.S. Department of Labor, the U.S. Postal Inspection Service, the New York State Department of Labor, and the NYPD Financial Crimes Task Force.
Prosecutors allege that Reeves filed fraudulent unemployment insurance applications in the names of 42 victims across 11 states, netting approximately $655,706 and attempting to steal another $59,590. Robertson is accused of filing fraudulent claims under 12 names, allegedly taking $180,201 and attempting to steal $109,350.
In a separate case, Robertson allegedly hacked into multiple brokerage accounts belonging to a Pennsylvania man in March, stealing more than $1.2 million. Prosecutors say he liquidated the victim’s assets, redirected the funds into accounts he controlled, and laundered the money through several bank accounts in his own name.
Both men were arrested inside their home on Wednesday, where financial documents were seized. Reeves was arraigned on charges including second-degree grand larceny, first-degree identity theft, and criminal possession of stolen property. If convicted on the top charge, he faces up to 15 years in prison. Robertson was arraigned on both an indictment and a separate criminal complaint, facing a maximum of 25 years if convicted of first-degree grand larceny tied to the brokerage theft.
The case underscores the extensive pandemic fraud that drained unemployment programs across the country. Officials say more than 50 victims were affected in this scheme alone.
Both defendants are due back in court in November.
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Key Points
- Kareem Reeves and Michael Robertson indicted in Queens for allegedly stealing over $835,000 in fraudulent unemployment benefits
- Robertson separately charged with stealing more than $1.2 million from private brokerage accounts of a Pennsylvania man
- Both face lengthy prison terms if convicted; investigation involved federal, state, and local agencies
