Fraud Overwhelms Pandemic-Related Unemployment Programs

With the floodgates set to open on another round of unemployment aid, states are being hammered with a new wave of fraud as they scramble to update security systems and block scammers who already have siphoned billions of dollars from pandemic-related jobless programs.

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A man walks past a "Now Hiring" sign on a window at Sherwin Williams store, Friday, Feb. 26, 2021, in Woodmere Village, Ohio. Massive fraud in the nation's unemployment system is raising alarms even as President Joe Biden and Congress prepare to pour hundreds of billions more into expanded benefits for those left jobless by the coronavirus pandemic. (AP Photo/Tony Dejak)
Image via AP Photo/Tony Dejak

This article was republished here with permission from The Associated Press, however it is no longer available to read on Snopes.com.

COLUMBUS, Ohio (AP) — With the floodgates set to open on another round of unemployment aid, states are being hammered with a new wave of fraud as they scramble to update security systems and block scammers who already have siphoned billions of dollars from pandemic-related jobless programs. The fraud is fleecing taxpayers, delaying legitimate payments and turning thousands of Americans into unwitting identity theft victims. Many states have failed to adequately safeguard their systems, and…

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