Rep. Bob Gibbs Has Major Questions Surrounding Fraudulent Unemployment Claims | Beaufort County Now | Ohio Congressman Bob Gibbs (R) on Friday penned a letter to Department of Justice Inspector General Michael Horowitz asking for an investigation into widespread unemployment fraud that has taken place throughout the COVID-19 pandemic.

Coronavirus Disease 2019 (COVID-19)

Rep. Bob Gibbs Has Major Questions Surrounding Fraudulent Unemployment Claims

Publisher's Note: This post appears here courtesy of the The Daily Wire. The author of this post is Beth Baumann.

    Ohio Congressman Bob Gibbs (R) on Friday penned a letter to Department of Justice Inspector General Michael Horowitz asking for an investigation into widespread unemployment fraud that has taken place throughout the COVID-19 pandemic. Specifically, Gibbs wants to know if an anti-fraud detection program could have prevented states from spending millions — and in some cases, billions — on unemployment fraud.

    According to Ohio Department of Job and Family Services (ODJFS) Interim Director Matt Damschroder, the state has paid out more than $2.1 billion in unemployment benefits since the COVID pandemic began last March. In addition, "More than 1.5 billion worth of overpayments were considered to be 'nonfraudulent' that affected both traditional and pandemic unemployment benefits," WBNS-TV reported. "Fraudulent overpayments in both traditional and pandemic unemployment totaled more than $460 million."

    Ohio isn't the only state that has dealt with sweeping unemployment fraud. California allegedly sent $1 billion in enhanced COVID unemployment benefits to "hundreds of incarcerated individuals, including high-profile convicted murderer Scott Peterson," per a report from The Daily Wire.

    In New Mexico, the state paid $250 million in overpayments, $100 million of which was fraud, KRQE-TV reported. The New York state government paid out $2 million in unemployment benefits to eight men who schemed the system, per a report from the New York Daily News. And in Texas, $577 million went to roughly 373,000 possibly fraudulent claims, KVUE-TV reported.

    Congressman Gibbs wants to know if an anti-fraud detection program could have prevented large-scale fraud that took place throughout the pandemic.

    "In 2013, the Obama administration gave California's Employment Development Department (EDD) a $2 million grant to implement a fraud detection program through Pondera Solutions. This program is reported to be very successful at detecting high probability fraud in a large number of cases but was shut down in 2016 by EDD due to its annual operations cost of $2 million," Gibbs wrote. "According to El Dorado County District Attorney Vern Pierson, a significant percentage of between $11 and $31 billion would have been saved in 2020 if the program would have still be running."

    Specifically, Gibbs wants the IG to determine:

  1. The amount of overpayments and fraudulent payments of each state.
  2. Which, if any, states implement programs similar to the California EDD using Pondera, and how effective were they at preventing fraud?
  3. Whether any states have conducted their own audits and what are the findings.
  4. The recovery rate of each state (IE-what states have done the vest in recouping fraudulent payments).
  5. Provide guidance on best practices for addressing the issue and preventing it from happening in the future.

    The letter comes after House Ways and Means Committee Republicans, under the leadership of Rep. Kevin Brady (TX), introduced the Combatting COVID Unemployment Fraud Act of 2021, which would "prevent fraud in COVID unemployment programs, recover fraudulently paid benefits, and provide relief for taxpayers and victims of unemployment fraud," a press release from the committee stated.

    Senate Finance Committee Ranking Member Mike Crapo (R-ID) introduced a companion bill in the Senate, known as S. 1699.
Go Back

HbAD0

Latest Op-Ed & Politics

Often times in politics, we hear phrases which sound simple and unassuming, but we later find that there is far more behind those words than what we know.
Experts say North Carolina will be on the vanguard of emerging technologies in the insurance and financial products sector if a bill that has passed both chambers of the General Assembly becomes law.
Dan McLaughlin of National Review Online ponders Vice President Kamala Harris’ approach to her role as the Biden administration’s point person on the Southern border.
Updated forecast confirms historic opportunity to meet the needs of North Carolina communities and ensure a shared recovery from the pandemic
Helen Raleigh writes at National Review Online about an aspect of “clean” energy that its advocates try to hide.
One customer caused the major internet outage that made several well-known websites crash earlier this week, according to the cloud service at the root of the problem.
Many people have resisted getting what has been described as "The Vaccine Shot".
Emily Brooks of the Washington Examiner highlights a new national Republican effort to promote South Carolina’s Sen. Tim Scott.

HbAD1

Governor Roy Cooper signed the following bills into law today: Senate Bill 248 & 2 others
We will offer this allotment of three with more to come; some old, most new, but all quite informative, and, moreover, necessary to understanding that in North Carolina, there is a wiser path to govern ourselves and our People.
The State Board of Elections invites public comment on an amendment to a permanent rule related to the arrangement of official ballots.
The N.C. House passed a bill by a vote of 100-5 on Wednesday to exempt military retirement pay from state income taxes.
Today Governor Roy Cooper announced that he signed an Executive Order to extend a variety of measures currently in place to respond to the COVID-19 Pandemic until July 30.
According to a new study, a microscopic freshwater animal known as a “bdelloid rotifer” or “wheel animalcule,” has survived after being frozen for 24,000 years in Siberian permafrost.
State Auditor Beth Wood’s office found that Shelton Jeffries, the former superintendent of Nash County Public Schools, violated his contract and district procedures by ringing up $45,690 in questionable expenses during his three-plus years at the helm.

HbAD2

 
Back to Top