A 42-year-old Everett man pleaded guilty Friday to stealing nearly $50,000 in unemployment benefits while he was incarcerated, officials said.
Daniel Mullaney was sentenced to seven years in state prison on charges of unemployment fraud, larceny over $250 by false pretenses, conspiracy to commit unemployment fraud, conspiracy to commit larceny, and being a habitual offender, Attorney General Martha Coakley’s office said.
“These allegations are a disturbing example of the lengths people will go to defraud the system,” Coakley said in a statement.
Mullaney began receiving unemployment benefits in October 2009 and arranged for deposits to go into the account of his ex-wife, Stacey Carlin. In March 2010, Mullaney was incarcerated, but he instructed Carlin on how to continue receiving his benefits, Coakley’s office said.
Carlin falsely certified Mullaney’s unemployment claims until April 2010.
From June 2010 to July 2011, Mullaney was able to continue collecting the benefits by a friend and former fellow inmate, Derek McCarthy, according to Coakley’s office. McCarthy opened an Internet bank account for the purpose of depositing Mullaney’s benefits. He was later arrested and charged.
Mullaney was indicted on Aug. 23. He pleaded not guilty to fraud charges in Suffolk Superior Court on Sept. 5, Coakley’s office said.
Carlin, who was also charged, and McCarthy were sentenced on Dec. 5, 2012, Coakley’s office said.