Linda Nguyen, Mail Fraud, California 2019

BAY AREA RESIDENT SENTENCED TO 2 YEARS IN PRISON FOR MAIL FRAUD SCHEME

San Francisco, CA - In a shocking turn of events, Linda Nguyen, a 68-year-old resident of Union City, was sentenced to two years in prison for her role in a multi-million dollar mail fraud conspiracy. The sentence was handed down by the Hon. Phyllis J. Hamilton, Chief U.S. District Judge.

The charges against Nguyen stem from her involvement in a scheme to defraud California's State Disability Insurance (SDI) program. The SDI program is designed to provide partial wage replacement benefits to eligible California workers who are unable to work due to a non-work-related illness, injury, or pregnancy.

Nguyen pleaded guilty to the charge on July 17, 2019. According to the plea agreement, Nguyen admitted that from January 2013 until January 2019, she agreed with a licensed physician and others to commit mail fraud by defrauding California's SDI program. Specifically, Nguyen admitted she helped non-disabled persons prepare and submit fraudulent applications and certifications for SDI benefits.

In exchange for her services, Nguyen charged the non-disabled SDI applicants a fee equal to 10% of the SDI benefits that they received. Nguyen also paid the physician for each certification he completed for the fraudulent application. Nguyen's plea agreement contains four examples of individuals for whom she completed fraudulent applications.

The total loss attributable to the fraudulent scheme in which Nguyen participated is estimated to be between $3,500,000 and $9,500,000.

Nguyen was indicted by a federal grand jury on January 29, 2019, charging her with one count of conspiracy to commit mail fraud, in violation of 18 U.S.C. § 1349, and one count of substantive mail fraud, in violation of 18 U.S.C. § 1341. Nguyen pleaded guilty to the conspiracy count and the substantive mail fraud count was dismissed at sentencing.

Nguyen is also required to serve a three-year term of supervised release, to begin at the end of the prison term, and to pay restitution.

Source: https://www.justice.gov/usao-ndca/pr/bay-area-resident-sentenced-two-years-prison-conspiring-commit-mail-fraud-connection