• Phyllis Hope Stitt, a former EDD employee, and Kenneth Earl Riley were sentenced to 20 months in prison for COVID-19 unemployment fraud.
• Stitt accessed personal data to file fraudulent unemployment claims, while Riley managed the stolen funds.
• The pair were ordered to pay restitution totaling over $1.3 million.

Phyllis Hope Stitt, a former employee of the California Employment Development Department (EDD), and her boyfriend, Kenneth Earl Riley, were sentenced to 20 months in federal prison for their involvement in a scheme to defraud the COVID-19 unemployment insurance program. Stitt exploited her position at the EDD to access personal information of individuals and file fraudulent unemployment claims in their names. Riley then accessed the funds through debit cards and bank accounts. The fraudulent activity occurred between March 2020 and September 2021.

• What: Phyllis Hope Stitt, a former EDD employee, and Kenneth Earl Riley fraudulently obtained COVID-19 unemployment insurance benefits.
• Who: Phyllis Hope Stitt (former EDD employee), Kenneth Earl Riley (boyfriend), U.S. District Judge André Birotte Jr.
• When: The fraudulent activity occurred from March 2020 to September 2021. Sentencing occurred on Friday (implied: May 10, 2025, based on related articles).
• Where: Central District of California; Carson and South Los Angeles (residences of Stitt and Riley, respectively).

This case highlights the vulnerability of unemployment insurance programs to fraud, particularly during times of crisis like the COVID-19 pandemic. Stitt's position within the EDD allowed her to exploit the system, while Riley facilitated the laundering of the stolen funds. The significant restitution amounts ordered by the court reflect the scale of the fraud and the government's commitment to recovering the stolen funds. The backdating of applications to inflate claim size is a significant detail, demonstrating the level of planning involved in the scheme.

Phyllis Hope Stitt and Kenneth Earl Riley have been sentenced for their involvement in a COVID-19 unemployment fraud scheme. They must serve their prison sentences and pay significant restitution, marking a conclusion to this specific case. However, it also underscores the broader issue of fraud within unemployment systems and the need for increased security measures.