California Welfare Fraud Defense Lawyer
Welfare fraud, sometimes called aid by misrepresentation or fraud to obtain public aid, is a serious criminal offense in California. Welfare fraud cases are generally prosecuted under California Welfare and Institutions Code § 10980 (WI 10980).
A person may face criminal charges when prosecutors allege that the person knowingly provided false information, concealed important information, or otherwise obtained public benefits through fraud or misrepresentation. Depending on the circumstances and the amount of the alleged fraud, a welfare fraud case may be charged as a misdemeanor or felony.
If you are being investigated for welfare fraud, have received a notice from a welfare agency, or have already been arrested or charged, it is important to understand the allegations before making statements to investigators or attempting to resolve the matter yourself.
What Is Welfare Fraud Under California Welfare and Institutions Code §10980?
California Welfare and Institutions Code § 10980 addresses various forms of fraud involving public benefits. In general, a welfare fraud prosecution may arise when the government claims that a person knowingly misrepresented or concealed financial or other eligibility information in order to obtain public assistance.
Welfare fraud allegations can involve information provided when a person first applies for benefits as well as information that should have been reported after benefits have already been approved.
Common allegations may involve the failure to accurately report:
- Income or wages
- Employment
- Household members
- Financial support from another person
- Changes in financial circumstances
- Other information relevant to eligibility for public benefits
Depending on the program involved, an investigation may concern benefits such as cash assistance, food assistance, health care benefits, WIC, CalWORKs, CalFresh, or other forms of public aid.
What Is Aid by Misrepresentation?
The term aid by misrepresentation is commonly used when a person is accused of obtaining public assistance by providing false information or concealing information that allegedly affected eligibility or the amount of benefits received.
For example, prosecutors might allege that a person failed to disclose another source of household income or incorrectly reported who lived in the household. However, an inaccurate application does not automatically establish criminal welfare fraud. The prosecution generally must prove the required criminal elements, including the defendant’s knowledge and intent, based on the facts of the particular case.
This distinction can be extremely important in a welfare fraud defense.
Examples of California Welfare Fraud Allegations
Welfare fraud cases can arise from many different factual circumstances. One example would be an allegation that a person reported being the sole financial supporter of a household while another adult allegedly lived in the home and contributed financially.
Another case might involve allegations that a person failed to report changes in employment or income after receiving public benefits.
These cases can become complicated because eligibility rules for public benefit programs are often detailed and fact-specific. A mistake, misunderstanding, failure to understand a reporting requirement, or disagreement about the information provided may be materially different from an intentional criminal fraud scheme.
Welfare Fraud and Perjury Charges
Welfare fraud charges are sometimes accompanied by allegations of perjury under Penal Code § 118. This can occur when prosecutors allege that a defendant knowingly signed a document under penalty of perjury while providing false information.
As a result, a person investigated for welfare fraud may face more than one criminal allegation arising from the same investigation.
The specific charges depend on what the prosecution believes happened, what documents were submitted, how many submissions were allegedly false, and the evidence available to establish the defendant’s knowledge and intent.
Welfare Fraud and Forgery
Forgery charges under Penal Code § 470 may also be investigated or filed in certain welfare fraud cases.
For example, prosecutors may allege that a defendant submitted a fabricated paycheck, financial document, bank record, utility bill, or other document to establish eligibility for benefits.
A welfare fraud investigation involving allegedly false documents can therefore develop into a broader criminal case involving multiple charges.
Welfare Fraud and Burglary Charges
In some circumstances, prosecutors may also investigate burglary allegations in connection with an alleged welfare fraud scheme. The applicability of a burglary charge depends on the particular facts and whether the prosecution can establish the elements required under California law.
Because additional charges can significantly increase the potential consequences of a criminal case, an investigation should be taken seriously even when the underlying allegation initially appears to involve only an overpayment or eligibility dispute.
Can You Be Charged With Multiple Counts of Welfare Fraud?
Yes. A welfare fraud investigation can result in multiple counts when prosecutors allege that fraudulent conduct occurred on multiple occasions.
Multiple welfare fraud allegations may also be accompanied by other criminal charges, such as perjury, forgery, or other offenses, depending on the evidence.
For that reason, it is important to examine the individual transactions, applications, eligibility reports, supporting documents, and communications that form the basis of the government’s allegations.
California Welfare Fraud Penalties
The potential punishment for a California welfare fraud conviction depends on the specific subdivision of Welfare and Institutions Code § 10980 involved, the amount of the alleged loss, the defendant’s criminal history, and other circumstances.
Welfare fraud may be prosecuted as either a misdemeanor or felony offense. A felony conviction can expose a defendant to significantly greater consequences than a misdemeanor conviction.
In addition to incarceration, a welfare fraud conviction can potentially result in financial penalties and other consequences.
Jail and Probation for Welfare Fraud
Depending on the charge and circumstances, probation may be available instead of a defendant serving the entire potential jail sentence in custody.
When probation is granted, the court may impose conditions that can include financial obligations, restitution, reporting requirements, classes, community-based requirements, or other conditions imposed by the court.
Whether probation is appropriate depends on factors that may include the nature of the alleged conduct, the amount involved, the defendant’s criminal history, and the circumstances surrounding the offense.
Restitution in California Welfare Fraud Cases
Restitution can be a significant issue in a welfare fraud case.
When a defendant is convicted, the court may order restitution intended to compensate the victim or governmental agency for qualifying losses caused by the criminal conduct.
The amount of alleged loss can also affect the way prosecutors evaluate a case and the potential penalties associated with a conviction.
Restitution issues should therefore be carefully reviewed rather than assuming that the amount claimed by a government agency necessarily establishes the amount of criminal loss.
Other Consequences of a Welfare Fraud Conviction
The consequences of a welfare fraud conviction can extend beyond jail, probation, fines, and restitution.
Depending on the circumstances, a conviction may have consequences involving:
- Future eligibility for public benefits
- Professional or occupational licensing
- Immigration status
- Firearm rights in circumstances where California law prohibits possession
- Financial obligations and collection of restitution
- Future criminal sentencing
These collateral consequences can make the defense of a welfare fraud case particularly important for people who are not United States citizens or who hold professional licenses.
Welfare Fraud and Immigration Consequences
A welfare fraud conviction may create immigration concerns for a non-citizen because fraud-related offenses can potentially have immigration consequences depending on the specific offense, conviction, sentence, and immigration history.
Anyone who is not a United States citizen should speak with an attorney about the potential immigration consequences before entering a guilty or no-contest plea to a welfare fraud charge.
Criminal defense and immigration consequences should be evaluated together when negotiating a resolution.
Common Defenses to California Welfare Fraud Charges
Every welfare fraud case is different. The appropriate defense depends on the government’s evidence, the documents involved, the alleged amount of fraud, the defendant’s statements, and the circumstances surrounding the application or receipt of benefits.
Potential defense issues may include:
- Lack of knowledge: The defendant did not knowingly provide false information.
- Mistake of fact: The information provided was incorrect because of a genuine mistake or misunderstanding.
- Lack of intent: The evidence does not establish the required criminal intent.
- Insufficient evidence: The prosecution cannot prove the required elements beyond a reasonable doubt.
- Incorrect calculation of benefits: The government may have incorrectly calculated eligibility or the amount of alleged overpayment.
- Income verification issues: Existing information available to the welfare agency may be relevant to the defense.
- Coerced statements: Statements made during an investigation may raise constitutional or evidentiary issues depending on the circumstances.
- Duress or necessity: In appropriate cases, these defenses may become relevant to the particular facts.
One of the most important issues in many welfare fraud cases is whether an alleged error was actually knowing and intentional, rather than an innocent mistake.
Welfare Overpayments and Criminal Charges
Not every welfare overpayment is necessarily a criminal fraud case.
A person may receive more benefits than the person was ultimately entitled to receive for reasons that do not involve an intentional attempt to defraud the government. The circumstances surrounding the overpayment, including information provided to and possessed by the welfare agency, can therefore be important.
In some cases involving programs such as CalWORKs or CalFresh, information already provided to the welfare department may become relevant to whether a criminal violation can be established.
A criminal welfare fraud allegation should therefore be distinguished from an administrative overpayment dispute whenever the facts support doing so.
Judicial Diversion for Misdemeanor Welfare Fraud
Depending on the circumstances and current California law, a defendant charged with misdemeanor welfare fraud may have diversion or another alternative resolution available.
Diversion generally involves the defendant completing court-ordered requirements rather than proceeding directly toward a conviction. Conditions can potentially include restitution, classes, compliance with court orders, and other requirements.
If the applicable diversion requirements are successfully completed, the criminal case may be dismissed.
Eligibility for diversion is not automatic. The availability of a diversionary resolution depends on the applicable law, the specific charge, the defendant’s criminal history, the facts of the case, and the court’s determination.
Statute of Limitations for Welfare Fraud
The statute of limitations can be an important issue in any criminal case involving alleged welfare fraud.
Because the applicable limitations period can depend on the specific offense and circumstances, the date of the alleged conduct, the date the conduct was discovered, and other facts should be carefully reviewed by a California criminal defense attorney.
A person should not assume that an old welfare overpayment or an old application is automatically too old to prosecute—or that it can automatically still be prosecuted—without examining the applicable statute and the facts of the case.
What Happens After a Welfare Fraud Arrest?
If you have been arrested or cited for suspected welfare fraud, the case may not necessarily result in a conviction.
The district attorney may decline to file charges, file charges and later dismiss them, or proceed with prosecution. If charges are filed, the defense may involve challenging the government’s evidence, negotiating a resolution, seeking diversion where available, or taking the case to trial.
The best time to evaluate the evidence is before making unnecessary statements or agreeing to a resolution that could create additional criminal, financial, immigration, or professional consequences.
Can a Welfare Fraud Arrest Record Be Sealed and Destroyed?
In certain circumstances, a person who was arrested or cited for welfare fraud may be eligible to seek relief concerning the arrest record.
For example, eligibility may arise when criminal charges were never filed, charges were dismissed, or the defendant was found not guilty. The availability and procedure for obtaining relief depend on the circumstances and applicable California law.
Because an arrest record can affect employment, professional licensing, housing, and other areas of life, it may be worthwhile to determine whether post-arrest relief is available.
Post-Conviction Relief for Welfare Fraud
A welfare fraud case does not necessarily end with sentencing. Depending on the circumstances, possible post-conviction remedies may include an appeal, relief from a conviction, expungement where legally available, or other forms of post-conviction relief.
The appropriate remedy depends on how the case was resolved, the defendant’s criminal history, the type of conviction, and the specific relief being sought.
Speak With a California Welfare Fraud Defense Lawyer
A welfare fraud investigation can involve government records, financial information, benefit applications, employment records, bank records, and statements made during an investigation. A seemingly minor reporting error can therefore develop into a criminal case with significant consequences.
If you are being investigated for welfare fraud under California Welfare and Institutions Code § 10980, have been accused of aid by misrepresentation, or have already been charged with welfare fraud, an experienced California criminal defense attorney can review the allegations and help determine the strongest strategy for your case.
Early legal representation can be particularly important when prosecutors are still investigating the allegations. Contact a California criminal defense lawyer to discuss the facts of your case and your available defense options.
Call 213-932-8922, for a free consultation.
