OFFICE OF INSPECTOR GENERALPress Releases
North Carolina Man Sentenced for CARES Act Unemployment Fraud Scheme
October 28, 2026
FOR IMMEDIATE RELEASE
U.S. Department of Labor, Office of Inspector General
PROVIDENCE – A North Carolina man, formerly of Florida, has been sentenced in federal court in Rhode Island for orchestrating a scheme to fraudulently obtain unemployment insurance benefits funded in part by the Coronavirus Aid, Relief, and Economic Security (CARES) and Families First Coronavirus Response (FFCRA) Acts.
Irvin Vilneus, 34, of Barbeque, North Carolina, formerly of North Lauderdale, Florida, was sentenced on October 27, 2026, by U.S. District Court Judge Melissa R. DuBose to five years in federal prison, followed by three years of supervised release. The court also ordered payment of $2,812,716 in restitution; forfeiture of assets seized from Vilneus’ residence, including $45,899 in cash and jewelry; and entry of a forfeiture money judgment of $2,812,716.
Vilneus previously pleaded guilty on January 20, 2026, to multiple federal offenses, including three counts of wire fraud and three counts of aggravated identity theft.
According to court documents, Vilneus executed a complex scheme using stolen personal identifying information of over 150 persons to fraudulently obtain unemployment benefits that were made available during the COVID-19 pandemic by the CARES and FFCRA Acts in multiple states, including Rhode Island. In the fraudulent applications, Vilneus directed the unemployment benefits to be deposited into bank accounts that he had fraudulently opened, using the personal identifying information of other people. Over approximately eight months, Vilneus stole approximately $2.8 million in government benefits.
“This sentence reflects the seriousness of a fraud scheme that used stolen identities to obtain federal benefits intended to help Rhode Islanders struggling during the COVID- 19 pandemic,” said First Assistant United States Attorney Charles C. Calenda. “The CARES Act was designed to provide a lifeline to people in crisis, not an opportunity for criminals to enrich themselves. Our office will continue to aggressively pursue those who target vital federal relief programs and betray the public’s trust.”
“Irvin Vilneus treated the pandemic as his own personal cash cow and blatantly stole millions of dollars from government relief programs set up to keep struggling Rhode Island businesses and workers afloat. In doing so, he used the identities of hundreds of unsuspecting consumers,” said Ted E. Docks, Special Agent in Charge of the FBI’s Boston Division. “What he did was downright shameful, and this sentence ensures he’ll have plenty of time to thinkabout the consequences of his crimes while behind bars. Know that your FBI and our partners are working every day to root out and crack down on con artists who exploit federally funded relief programs for their own personal gain.”
The case was prosecuted by Assistant United States Attorney Denise M. Barton, Special Assistant United States Attorney John M. Moreira, and Assistant United States Attorney Stacey A. Erickson.
This matter was investigated by the United States Attorney’s Office; Rhode Island Department of the Attorney General; Federal Bureau of Investigation; Department of Labor – Office of Inspector General, Rhode Island State Police; and the Internal Revenue Service Criminal Investigations, with substantial assistance from the United States Postal Inspection Service, United States Secret Service, and the Social Security Administration Office of Inspector General/Office of Investigations.
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