Los Angels county District Attorney Steve Cooley held a news conference today discussing the more than 50 people who were charged in a $3 million dollar child-care fraud scam. Demetrius Eugene, 36 is the alleged ringleader and is accused of setting up 6 bogus child-care facilities under the name Home Sweet Home Day Care, Inc. around Los Angeles County and possibly other California counties.
Cooley said Eugene listed family and friends as child-care providers in a “welfare to work” program. This state run program pays day care providers for taking care of children for those on welfare so they can get back into the workforce. Eugene allegedly then recruited welfare qualified candidates in order to collect state funds. These candidates then signed fake attendance cards at the Los Angeles headquarters of Home Sweet Home in return for $300 per child.
Among those charged was Kmond Day, 32 who received his day care license shortly before he was convicted of drug trafficking and sent to prison. According to authorities, Day and his wife received over $400,000 in state funds.
Deputy District Attorney James Baker who is working on this case says this ring is one of hundreds of child-care fraud complaints referred to the Department of Pubic Social Services in the county.