COVID unemployment surge led to at least $5.2 billion in overpaid benefits in Illinois – including fraud
Included in that sum was $6 million paid to 481 dead people and $40.5 million in unemployment checks written to incarcerated individuals. And, the audit warned, those numbers could be a significant undercount.
Before COVID hit, IDES crossmatched active unemployment insurance claimants against five other databases to verify eligibility for benefits. Those included state prison and county jail registries, the Social Security Administration and the State and National Directory of New Hires. However, the crossmatching process takes time and"constricted the processing system severely," the audit said.
Illinois is far from alone in its experience of massive unemployment fraud, though it's difficult to compare the extent of the fraud among states due to a lack of comprehensive federal data. "The people who were supposed to serve as stewards of their resources completely failed [Illinoisans], and their ineptitude served to embolden and help criminals to abuse the system and steal benefits," state Sen. Chapin Rose, R-Mahomet, said in a statement."I have constituents who were lawfully entitled to benefits that they never received, and then now they have to read about billions that are missing.
Identity theft accounted for nearly $511 million -- roughly a quarter -- of the $2 billion in overpayments within Illinois' regular unemployment benefits system. In contrast, identity theft accounted for the majority of overpayments in the PUA system, to the tune of $2.3 billion.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
President Biden establishes Emmett Till National Monument at sites in Illinois, MississippiPresident Joe Biden established a national monument honoring civil rights icon Emmett Till and his mother Tuesday on what would have been his 82nd birthday.
Read more »
Officials identify remains found at Indiana farm in 1983 as Chicago teen slain by late serial killerLarry Eyler confessed to at least 20 killings before dying in 1994 at an Illinois prison.
Read more »
Editorial: L.A.'s bail reform is an improvement, but falls short of what Illinois has doneThe L.A. County Superior Court is scaling back cash bail, but it was outclassed by the Illinois Supreme Court, which upheld legislation halting it altogether.
Read more »