Criminal profiteering: asset forfeiture: unemployment and disability insurance fraud.

Existing law, the California Control of Profits of Organized Crime Act, provides the procedure for the forfeiture of property and proceeds acquired through a pattern of criminal profiteering activity, as specified. Under existing law, criminal profiteering activity is defined as certain acts or threats made for financial gain or advantage that may be charged as specified crimes, including, among others, offenses relating to insurance fraud. This bill would include fraud offenses relating to COVID-19 pandemic-related insurance programs administered by the Employment Development Department within the definition of criminal profiteering activity for the purposes of these provisions. The bill would require proceeds collected under these provisions to be returned to the Employment Development Department. By increasing the burdens on local prosecuting agencies, this bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. This bill would declare that it is to take effect immediately as an urgency statute.