EDD Insider Decker Gets 3+ Years for $373K Fraud

SACRAMENTO, Calif. – Katherine Decker, 49, of Fresno, is headed to federal prison after being sentenced today to three years and seven months for a brazen scheme to defraud the State of California. U.S. District Judge Kimberly J. Mueller handed down the sentence, marking a significant blow against internal corruption within the California Employment Development Department (EDD).

The scam, perpetrated between June 14, 2013, and May 1, 2017, saw Decker and her accomplice, Angela Stubblefield, 49, of Tacoma, Washington (formerly of Martinez, California), filing bogus claims for disability insurance benefits. Decker, exploiting her position *within* the EDD, wasn’t just processing claims – she was manufacturing them, using the identities of real people, often without their knowledge or consent.

Court documents reveal a calculated operation. Decker and Stubblefield didn’t just file initial fraudulent claims; they actively worked to *extend* those claims, perpetuating the deception and siphoning funds from a system meant to support those genuinely in need. The pair’s actions culminated in a total of 15 fraudulent claims, costing the EDD a staggering $373,566.

“This wasn’t some impulsive act,” stated U.S. Attorney McGregor W. Scott in a press release. “This was a deliberate, sustained effort to exploit a vulnerable system for personal gain. The fact that the fraud originated from *within* the EDD makes it particularly egregious.” The investigation was spearheaded by the EDD’s own Investigation Division, working in tandem with the Federal Bureau of Investigation.

Both Decker and Stubblefield pleaded guilty on February 10th to the fraudulent scheme. While Decker’s sentence has been handed down, Stubblefield awaits her fate, scheduled to be sentenced by Judge Mueller on November 9th. That same date is also set for a hearing to determine the full amount of restitution the pair will be required to pay back to the state.

Assistant U.S. Attorneys Shea J. Kenny and Amy S. Hitchcock are prosecuting the case, signaling a continued federal commitment to rooting out fraud and corruption within California’s state agencies. This case serves as a stark reminder that even those entrusted with public service are not above the law.