Pandemic unemployment fraud grows another $9M

Fox Business Flash top headlines for July 7

Check out what’s clicking on FoxBusiness.com.

There have now been almost $54 million in fraudulent unemployment claims in Rhode Island during the coronavirus pandemic, state officials say.

The latest total is about $9 million more than in May, with even more victims coming forward in the past month, according to WJAR-TV.

State Department of Labor and Training Director Matt Weldon said that doesn’t necessarily mean the claims were filed during that time span, just that they are coming to light now.

Federal stimulus check image (iStock)

The agency has managed to get back about $3.75 million so far with the help of federal agencies, but Weldon believes that will grow significantly in the coming months.

PANDEMIC UNEMPLOYMENT BENEFITS FRAUD COULD TOP $200B, FIRM SAYS

The agency is also enforcing rules that require people to look for work while collecting benefits, he said.

CALIFORNIA’S 2020 UNEMPLOYMENT FRAUD CLAIMS MAY TOP $31 BILLION

With 64,000 Rhode Islanders receiving unemployment benefits, that will be a slow process, with the agency only able to get through a few hundred claims per week to start, he said.

GET FOX BUSINESS ON THE GO BY CLICKING HERE 

"As you can imagine, trying to audit claims and go through information is difficult when there are more than a workable number, so we are going to begin with hundreds and see how that goes and then that can grow in the future," he said.

Source: Read Full Article