Man got fired from Walmart — and blamed it on COVID to collect unemployment, feds say
Joseph Ransome is sorry.
This time last year, Ransome — a 51-year-old former retail manager from North Carolina — was accused of lying about losing jobs at big-box stores to qualify for $163,000 in COVID-19 unemployment benefits from 10 states.
Ransome apologized for his “selfish, greedy” actions in letters to the court. Now he’s heading to prison.
U.S. District Judge Robert J. Conrad in Charlotte sentenced Ransome to two and a half years in federal prison on Thursday, Jan. 27, after he pleaded guilty to wire fraud charges. Ransome was also ordered to pay $44,172 in restitution — most of which his defense attorney said remains frozen in a Federal Credit Union account.
“I have learned from this experience that there are no short cuts, no get rich quick schemes, and no easy ways out,” Ransome wrote in a letter to the judge before his sentencing. “Only hard work, discipline, and sticking to the core values taught by my parents lead to a successful life. I have tried to demonstrate my sincere remorse, make an amends to society, and address my own shortcomings that contributed to my actions so they would never be repeated.”
Ransome wasn’t the only person this week to go before a Charlotte judge on fraud charges related to the coronavirus pandemic.
In a separate case, 66-year-old Bryon Jones had his supervised release revoked after prosecutors said he lied to get $142,900 in COVID-19 relief funds while under court supervision for a prior drug conviction.
Neither Ransome’s defense attorney nor public defenders representing Jones immediately responded to McClatchy News’ request for comment on Friday, Jan. 28.
‘Motivated by self-interest and greed’
Ransome, who lives just outside of Charlotte in Indian Trail, North Carolina, waived his right to an indictment last year and pleaded guilty to attempting to defraud the federal government in January 2021.
According to information filed with his plea agreement, Ransome’s alleged scheme spanned five months at the beginning of the pandemic, from March to July 2020.
During that time, the federal government had expanded access to unemployment benefits to assist millions of people out of work amid widespread shutdowns and stay-at-home orders. They briefly offered certain eligible workers an additional $600 a week.
Ransome is accused of taking advantage of that pandemic assistance by filing fraudulent claims for unemployment benefits in North Carolina, New Jersey, Connecticut, Florida, Minnesota, New York, Massachusetts, Maine, Washington and Illinois. Prosecutors said he claimed to have worked at stores such as Walmart, Target, Best Buy, Lowe’s, Hobby Lobby and Costco but had been laid off because of the coronavirus pandemic.
In reality, the only store Ransome had worked for was Walmart. But he didn’t lose his job because of the pandemic, the government said. Instead, Ransome was reportedly fired from the superstore for misconduct.
After his guilty plea, prosecutors asked the judge to sentence Ransome to two years in prison. They said he also tried — and failed — to receive four separate Economic Injury Disaster Loans for a fake business and had used someone else’s social security number to take out a car loan.
“The defendant’s actions can only have been motivated by self-interest and greed at a time when millions of Americans were suffering from the economic impact of a global pandemic,” prosecutors said in sentencing documents. “As the pandemic spread, so too did fraud related to the unemployment benefits program and other programs designed to provide critical economic assistance.”
Ransome’s defense attorney requested leniency, saying his client came from a large family in rural Eastern North Carolina, enlisted in the Navy after graduating high school and worked in management for 20 years at several major retailers — including Linens ’N Things, Kmart and Walmart.
In his letter to the court, Ransome told the judge he was in therapy to “address my issues with Kleptomania (and) integrity” as well as volunteering in the community to “reconcile with society.”
“It has been a humbling experience to admit that I need help and most important to seek help,” he said. “Equally as humbling has been maintaining gainful employment no longer as a manager but as a wage earner.”
Polygraph doesn’t spare prison
Jones was convicted on drug trafficking charges and sentenced to 10 years of supervised release in 2019, according to court documents.
Then, in December 2020, a probation officer accused him of violating the terms of his release by filing a bogus application for an Economic Injury Disaster Loan through the Small Business Administration. The EIDL program was expanded during the pandemic to allow more businesses to qualify.
Prosecutors said Jones received an EIDL for $142,900 on behalf of his business, Ramses Air Freight & Transport Inc.
Public defenders submitted the results of a polygraph test during a court hearing on whether Jones’ supervised release should be revoked. They said Jones didn’t fill out the application for the loan and wasn’t aware it contained false statements.
Jones took the polygraph in April, telling the interviewer an acquaintance told him about a woman who could help him apply for COVID-19 relief funds through the government.
“He stated that (the woman) completed the application for the loan and signed his name to the application and that he never saw the completed application,” the interviewer said in his notes. “Jones stated that he did not know that (she) had lied on the application form.”
The results of the polygraph showed Jones was telling the truth.
His public defenders were allowed to submit the results as an expert opinion, but he still lost his bid to stay out of prison. The judge sentenced him to two years with an additional five years of supervised release, prosecutors said.
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