A Southern California woman was sentenced to prison for stealing nearly $1 million through a scheme that targeted COVID-19 unemployment benefits.
The woman was identified as Lizette Berrios Lathon, 48, of Moreno Valley, according to the U.S. Attorney’s Office. She worked alongside her husband, Kenneth Andrew Lathon, 50, during the scheme.
Along with the COVID-related theft, Lizette is a former Amtrak employee who also fraudulently obtained more than $63,000 in sickness benefits while working at the railroad company, prosecutors said.
The COVID-related crimes occurred from 2020 through March 2021. From 2014 until at least September 2022, Lizette operated at least three tax preparation businesses located in Los Angeles and Moreno Valley.
Prosecutors said the couple took advantage of the expanded eligibility for unemployment insurance benefits made possible by the Coronavirus Aid, Relief, and Economic Security (CARES) Act in 2020.
Lizette submitted fraudulent applications with the California Employment Development Department (EDD) using names, Social Security numbers, and personal information that was stolen from her former clients who used her tax preparation companies.
EDD officials authorized debit cards to be sent in the victims’ names, but the cards were mailed to addresses that Lizette and her family controlled. She and Kenneth used the debit cards to make cash withdrawals at ATMs and spent the money on personal items, authorities said.
Through this scheme, the couple filed at least 44 fraudulent unemployment claims and collected around $998,630.
Lizette was employed at Amtrak from 2000 to 2021. From September 2014 to January 2020, prosecutors said she defrauded the Railroad Retirement Board out of sickness benefit payments by “filing forged and false claims that stated she was being treated by a medical professional for pain and anxiety.”
She fraudulently collected around $63,047 in sickness benefit payments through this scheme.
In November 2022, Lizette pleaded guilty to one count of conspiracy to commit mail fraud and wire fraud, one count of aggravated identity theft and one count of wire fraud.
Her husband, Kenneth, pleaded guilty to one count of conspiracy to commit mail fraud and wire fraud, one count of aggravated identity theft, and one count of unlawful possession of a firearm by a convicted felon.
In July 2024, he was sentenced to 54 months in federal prison and was ordered to pay $998,630 in restitution. He also possessed a .22-caliber rifle and 12-gauge shotgun despite his criminal history, which included felony convictions in California state court for theft, cocaine possession, and fraud, court documents said.
On July 17, 2025, Lizette was sentenced to 25 months in federal prison and ordered to pay $1,061,667 in restitution.
Anyone with information about attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or online through the NCDF Web Complaint Form.
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