A Detroit man has been ordered to stand trial for allegedly stealing others’ identities and defrauding the state of $400,000 in pandemic relief, officials said.
Stanley Butts was bound over to Wayne County Circuit Court on Monday, Michigan Attorney General Dana Nessel said.
The 58-year-old is charged with several crimes, including:
∎ Obtaining $100,000 or more under false pretenses, a 20-year felony;
∎ Three counts of obtaining between $50,000 and $100,000 under false pretenses, a 15-year felony;
∎ Two counts of obtaining between $20,000 and $50,000 under false pretenses, a 15-year felony;
∎ Twelve counts of identity theft, a 5-year felony;
∎ And two counts of using a computer to commit a crime, one a 20-year felony and the other a 10-year felony.
Butts is scheduled to be arraigned in circuit court on May 11.
“Exploiting programs meant to support struggling Michiganders by committing identity theft depletes resources for those in need and harms innocent victims,” Nessel said Thursday in a statement. “I am pleased this case has moved forward to trial. My office will continue working with the Unemployment Insurance Agency and the Michigan State Housing Development Authority to pursue those who commit fraud and abuse taxpayer funds.”
His attorney was not immediately available for comment on Friday.
“Identity theft’s impact is felt far beyond a bad actor’s selfish actions against Michigan’s Unemployment Insurance Agency,” Jason Palmer, director of the Michigan Unemployment Insurance Agency, said in a statement. “It can steal financial security from victims, impact the bottom line of businesses that pay into the state’s unemployment program, and erode public confidence in a vital service for residents who lose their jobs.”
Prosecutors allege Butts stole multiple identities to fraudulently obtain more than $300,000 in unemployment benefits and more than $100,000 in rental assistance.
Michigan’s Unemployment Insurance Agency and the Michigan State Housing Development Authority discovered the alleged theft and referred the case to the attorney general’s office.
“Identity theft and fraud undermine the integrity of critical support systems that families rely on in times of need,” Amy Hovey, CEO and executive director of the Michigan State Housing Development Authority, said when the defendant was arraigned. “MSHDA administered the COVID Emergency Rental Assistance program during the pandemic to help keep Michiganders safely housed, and we appreciate Attorney General Nessel’s continued work to hold accountable anyone who attempted to exploit those resources for personal gain.”
The case follows others involving Michigan residents accused of pandemic relief fraud.
Last week, a Harper Woods man was convicted of stealing more than $60,000 in COVID-19 relief funds. He is scheduled to be sentenced on May 20.
A Southfield woman, along with her husband, accused of stealing $1.2 million in COVID-19 relief loans, pleaded guilty to federal charges last week.
Earlier this month, a Bloomfield Hills construction company owner was charged with wire fraud and money laundering after submitting phony applications for PPP loans.
cramirez@detroitnews.com
@CharlesERamirez
This article originally appeared on The Detroit News: Detroit man to stand trial for identity theft, COVID-19 relief fraud
Reporting by Charles E. Ramirez, The Detroit News / The Detroit News
USA TODAY Network via Reuters Connect
