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A 50-year-old Silver Spring woman, Elizabeth Maria Ceballos, has been sentenced to 40 months in federal prison for her role in a COVID unemployment insurance fraud scheme. The scheme, which lasted from at least May 2020 to September 2021, involved Ceballos fabricating false tax documents to support fraudulent unemployment benefits claims submitted to the Maryland Department of Labor. Ceballos and her co-conspirator, Vanessa Valdez, 42, of Burtonsville, Maryland, engaged in a conspiracy to defraud and obtain money by means of false pretenses.
The scheme was part of a larger effort to exploit the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which provided emergency financial assistance to Americans affected by the COVID-19 pandemic. Ceballos admitted to assisting Valdez with fraud related to Paycheck Protection Program (PPP) loan and Economic Injury Disaster Loan (EIDL) funds, in addition to the unemployment insurance fraud.
As a result of her guilty plea, Ceballos was sentenced to 40 months in federal prison, followed by two years of supervised release. She was also ordered to pay $638,889 in restitution. The sentence was announced by U.S. Attorney Kelly O. Hayes, along with Inspector General Anthony P. D’Esposito of the U.S. Department of Labor – Office of Inspector General, and Special Agent in Charge Akil Baldwin of Homeland Security Investigations (HSI) – Maryland.
The prosecution is part of the Trump Administration’s Task Force to Eliminate Fraud, which aims to combat fraud and abuse related to COVID-19 relief programs. The case highlights the ongoing efforts of law enforcement agencies to hold individuals accountable for exploiting these programs for personal gain.
📋 Key Facts
- Crime: Fraud & Financial Crimes
- Defendant: Maryland
- Location: MD
- Source: DOJ Press Release
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