A 53-year-old federal railroad employee has agreed to pay $24,000 to resolve potential violations related to his submission of unemployment benefit claims under the Railroad Unemployment Insurance Act during the COVID-19 pandemic, announced U.S. Attorney Nicholas J. Ganjei.
Between April 20, 2020, and Aug. 27, 2021, Chad Gillingwater, Katy, allegedly falsely claimed federal unemployment benefits.
Gillingwater was not entitled to those funds because he was already receiving state unemployment benefits and/or paid leave from his employer at the same time. Gillingwater also received additional benefits under The Coronavirus Aid, Relief and Economic Security Act, which extended unemployment insurance benefits for railroad workers sidelined during COVID-19.
The U.S. Attorney’s Office conducted the investigation with assistance from the Railroad Retirement Board – Office of Inspector General. Assistant U.S. Attorney (AUSA) Michelle Luong handled the matter.
The case highlights the importance of accountability in the use of federal funds during times of crisis. Gillingwater’s actions were a clear abuse of the system, and his settlement serves as a reminder that those who engage in such behavior will be held accountable.
The settlement amount of $24,000 reflects the seriousness of Gillingwater’s actions and the need for individuals to act with integrity when interacting with government programs.
According to the terms of the settlement, Gillingwater will pay $24,000 to the U.S. Treasury to resolve the matter.
Mandatory Facts: Chad Gillingwater, the 53-year-old federal railroad employee, allegedly committed False Claims Act liability, in Katy, Texas. The crime date is April 20, 2020, to Aug. 27, 2021. Gillingwater agreed to pay $24,000 to resolve the matter.
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Key Facts
- State: Texas
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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