The COVID-19 pandemic that struck in March of 2020 affected many individuals and their way of providing for their families. For some, those who were affected were able to receive unemployment benefits, and for others, unemployment benefits were claimed under false pretenses.
According to a release from The Virginia Employment Commission (VEC), they have begun to investigate and collect on thousands of confirmed fraudulent claims of employment benefits.
VEC officials said that since March 2020, the state had distributed $1.6 billion in known and potentially fraudulent claims.
According to the VEC, since January, they have successfully recovered roughly $40 million in wrongful payments with more than $60 million remaining.
VEC Commissioner Carrie Roth said that’s in connection to 17,401 cases of confirmed fraud.
Roth said the VEC is in the process of reviewing 99,376 unpaid and 180,261 paid potentially fraudulent claims.
According to a report from the VEC, from March 21, 2020, to March 2021, 1,525,925 claims were filed, compared to the 477,600 averages filed during the previous three economic recessions since 1990.
For eligible individuals who did not commit fraud but were overpaid through no fault of their own, the VEC has approved 23,310 overpayment waivers and waived over $80 million in payments.
The fraudulent claims have not only come from individuals who were working at the time of filing but also from those affected by identity theft.
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