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Tuesday, September 9, 2025

Former Michigan unemployment agency worker pleads guilty in $2.8 million bribery scheme

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Jerome F. Gorgon, Jr., U.S. Attorney’s Office for the Eastern District of Michigan | Department of Justice

Jerome F. Gorgon, Jr., U.S. Attorney’s Office for the Eastern District of Michigan | Department of Justice

A former employee of the Michigan Unemployment Insurance Agency, Janine Rayford, has pleaded guilty to charges of conspiring to commit federal program bribery and aggravated identity theft. The announcement was made by United States Attorney Jerome F. Gorgon Jr., with officials from the Department of Homeland Security—Office of Inspector General, U.S. Department of Labor-Office of Inspector General, the FBI, and the State of Michigan Unemployment Insurance Agency also participating.

Rayford, 39, from Redford, entered her plea before Judge Judith E. Levy. According to court records, Rayford accepted more than $50,000 in bribes while working for the agency. She admitted to accessing unemployment insurance claims without authorization and improperly dismissing fraud prevention triggers and information requests related to claims she knew were fraudulent. Her actions led to more than $2.86 million in improper unemployment insurance payments being issued to third-party claimants.

Sentencing is scheduled for January 8, 2026. Rayford faces a mandatory two-year prison sentence for aggravated identity theft and up to five years for conspiracy to commit federal program bribery.

U.S. Attorney Gorgon said, “If you’re a public official whose side hustle is taking bribes, your next job will be answering to a judge. Corruption destroys public trust in government and will be aggressively prosecuted by my office.”

Megan Howell, Special Agent-in-Charge at the U.S. Department of Labor Office of Inspector General for the Great Lakes Region stated: “Former Michigan Unemployment Insurance Agency employee, Janine Rayford, abused her position by misusing her access to sensitive employment information and state data systems to defraud the unemployment insurance program for personal financial gain,” adding that law enforcement partners will continue investigating those who exploit these programs.

Reuben Coleman, Acting Special Agent in Charge at the FBI Detroit Field Office said: “Today’s guilty plea sends a clear and powerful message that fraud against the United States Government and public officials profiting at the expense of the public will never be tolerated,” commending collaborative efforts between federal and state agencies.

Jason Palmer, Director of the State of Michigan Unemployment Insurance Agency remarked: “This plea sends a powerful message that no one is above the law, not even those who work for the UIA... We will not tolerate conspirators who selfishly steal from the very people they are supposed to be serving.”

Assistant United States Attorney Andrew J. Yahkind is prosecuting the case. The investigation involved multiple agencies including the Department of Homeland Security—Office of Inspector General, Department of Labor—Office of Inspector General, FBI, and Michigan's Unemployment Insurance Agency.

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