Pennsylvania has become home to millions of identity thieves who have been using stolen personal information to take billions of dollars intended for unemployed residents. The recent increase in unemployment fraud has prompted the state to make it easier to apply for unemployment benefits. However, fraud has become so widespread that the state has run into trouble. The Office of Unemployment Insurance says that identity theft and bank account hijacking were the most common types of fraud. While the problem continues to grow, state and federal agencies are trying to curb it.Pennsylvania Attorney General Josh Shapiro announced that five people will be facing charges in connection with their alleged crimes. They conspired to file false applications to obtain emergency unemployment benefits, also known as PUA. They were arrested for using a Chester address and falsifying documents. As a result, the government paid out more than $925,000 to the five alleged suspects. The criminal convictions stem from frauds that occurred between 2008 and 2011. The state began using a new online system for filing unemployment claims on June 8, replacing decades-old mainframe technology. While the new system was intended to make the process more user-friendly, it was accompanied by no enhanced identification verification. Moomaw and his team received reports of more than 100 fraudulent claims a week before the new system was implemented. During the week of July 10 alone, the group received nearly 2,000 fraudulent claims. Once the employee was contacted, about seventy percent of the fraudulent claims were found to be fraudulent. Fraudsters exploited the system during the pandemic, cashing in on the state's unemployment compensation system. They typically employed sophisticated and organized scams to hide their identities and steal government funds. In 2020, the Pennsylvania Independent Fiscal Office estimates that about $4.5 billion in fraudulent claims will be submitted in Pennsylvania, including traditional state insurance as well as special pandemic programs funded by the federal government. The state has implemented a new system, but it was immediately hit by scammers. The Department of Labor & Industry in Pennsylvania is investigating a possible fraudulent scheme involving thousands of people. During the early stages of the COVID-19 pandemic, Gov. Tom Wolf closed almost every business in Pennsylvania, and it is now suspected that fraudsters have been taking advantage of this opportunity. During the period of April to September of 2020, more than $6 billion in fraudulent unemployment claims will be paid out. The investigation will continue and additional charges may be filed. Pennsylvania state officials warn people filing for unemployment benefits to watch out for widespread unemployment fraud attempts. With data breaches exposing more than 11,000 personal records in the last 15 years, scammers are using this information to steal benefits from the unemployed. In many cases, these victims are unaware that their personal information has been compromised. To prevent identity theft, victims should contact the DOL if they suspect fraud. Ultimately, Pennsylvania has a zero tolerance for unemployment fraud. The state also reports checks to individuals as income. However, the state says they issued Sandy Kolenda checks worth $11,790. The state reports that they received the checks last July, but she never cashed them. Therefore, she feels that she should not have to pay taxes on the money that the state has taken from her. But her son has been receiving checks from her son, who is also facing fraud charges. There are many similar stories. A recent state audit revealed that Pennsylvania has been victimized by phishing attacks and fraudulent employers. Even though the state's Department of Workforce Development has implemented a computer system to prevent the occurrence of fraudulent claims, the problem still persists. Many victims of fraud have been unable to receive their benefits. If you're one of them, report it to the state right away. In addition to reporting the fraud, it will prevent the fraudulent payments from showing up on the state's 10-99G. Keeping https://www.refundee.com/impersonation-scams identity safe is the only way to avoid being a victim of Pennsylvania's unemployment fraud epidemic. The state's unemployment compensation system has long been plagued by problems, and lawmakers have repeatedly warned against federal intervention. However, after a political skirmish, the state agreed to set aside $115.2 million in 2017 to fix problems with claims processing and infrastructure upgrades. However, the money is not enough. The state's unemployment insurance fund has a limited lifespan and is not distributed to states according to their perceived need. This fund will run out this year.
