Labor Department Says Billions Are Missing From Fraud And Waste

( COVID-19 pandemic unemployment benefits ended up being “a magnet for rip-off artists” as identity thieves profited on expedited benefits the government was prepared to offer but not prepared to monitor. Creeps took advantage of the situation.

According to the figures provided by the Labor Department, false claims for pandemic-related benefits totaled an estimated 163 billion dollars.

Only $4.1 billion of that total has been recovered, which accounts for only 2.4 percent of the amount estimated to have been stolen. The government will not likely receive back the majority of the money.

Gene Sperling, an adviser to President Joe Biden, said that the unprecedented explosion of unemployment claims, combined with years of disinvestment in our unemployment system, lack of state-by-state data sharing, and weak identity controls created a perfect storm for the fraud and identity theft.

According to the research, fraud is so widespread that the $163 billion might underestimate the actual amount.

According to Roy Dotson, national pandemic fraud recovery coordinator for the United States Secret Service, “this was big.” He cannot even honestly wrap his head around the amount, and everyone at his agency is attempting to find it out right now.

According to the report, Democrats and the Joe Biden administration are blaming the failure of the social program and its execution on the underfunding of the government.

In other words, they could have kept their eye on the money if they had confiscated, and then spent, more money.

They refer to the situation as a “perfect storm” of fraud, with thieves capitalizing on their vulnerabilities, of which there seem to be many.

Sen. Ron Wyden, a Democrat from Oregon, said that the government’s antiquated systems are basically a magnet for rip-off artists and fraudsters.

Michael Horowitz, the Justice Department inspector general, stated that the government just is unable to keep up with this degree of pervasive fraud.

According to Horowitz, chief of the Pandemic Response Accountability Committee, the potential to participate in identity theft has risen dramatically, and the federal government has not kept up.

But we should trust them.