MORENO VALLEY (CBSLA) — A Moreno Valley couple faces charges in an ongoing investigation into a massive EDD fraud scheme.
Blake Fallon, 52, and Jessica Kaye, 44, were arrested on Jan. 28 at a home in the 8000 block of Pigeon Pass Road in Moreno Valley. They face felony charges unemployment insurance fraud and perjury.READ MORE: Funeral Service To Be Held In Covina Hills For Lance Cpl. Dylan Merola Who Was Killed In Afghanistan
The couple was snared as part of an investigation into grand theft and fraud involving inmates filing for EDD benefits while in custody.READ MORE: Mother, 2-Year-Old Son Fall To Their Deaths At Petco Park In San Diego
“The scope and impact of this fraud is outrageous,” District Attorney Mike Hestrin said in a statement. “The losses statewide are estimated in the billions of dollars and could be double-digit billions.”
The investigation has led to several cases and at least separate search warrants served in the Coachella Valley, Moreno Valley and Redlands over the past two weeks. An EDD application submitted by inmates housed in various Riverside County jails prompted the investigation in December.MORE NEWS: Pedestrian Killed, 1 Other Injured In 2-Car Crash In Pico-Union
The probe found that Kaye and Fallon was friends with 58-year-old Brian Jay Davidson – who has been charged with vehicular homicide — and used his information to submit a fraudulent EDD online application on his behalf, receiving more than $18,000 in EDD funds, according to the Riverside County District Attorney’s office. Davidson will also be charged with one felony count of conspiracy to commit unemployment insurance fraud.