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Back Washington Headline News 130 Accused in DC Unemployment Fraud Probe

130 Accused in DC Unemployment Fraud Probe

washington dc unemployment fraudWashington -- One hundred and thirty current and former employees of the District of Columbia have been caught up in a fraud investigation.

The nearly year-long probe looked into suspected abuse of unemployment insurance benefits paid out by the D.C. government.

Investigators found that as many as 130 people drew on unemployment benefits while actually still holding jobs with the District.  Those suspected who are currently working for the District have been placed on administrative leave pending the results of the investigation.

“We have taken many steps to improve the quality and integrity of the unemployment-insurance program,” said Department of Employment Services Director Lisa Mallory. “While more reform is still underway, many of our recent efforts are focused on detecting, recovering and deterring improper payments.”

The review of the District's unemployment benefit policy was set in motion by Mallory, shortly after she was appointed last year.  The office of the Inspector General, the Attorney general, and the Department of Human Resources all worked together with the DOES in the investigation.

Attorney General Irv Nathan said his office would reclaim unemployment insurance money paid out improperly.   “It is unconscionable for anyone – and particularly District of Columbia employees, who should have high ethical standards – to be fraudulently collecting unemployment insurance to which they are not entitled,” Nathan said.

The names of those suspected of fraud have not been released yet.  The mayor's office said the names of those suspected have been turned over to the U.S. Attorney's office for possible criminal prosecution.   Employees found to have defrauded the government will be fired, Gray's office says.

COPYRIGHT: NBCWashington


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