State Lawmakers Demand Action Against Suspected Unemployment System Fraud
LOS ANGELES (CBSLA) -- State lawmakers and officials within the Employment Development Department said investigators are looking into reports of a widespread scam against the California unemployment system.
Residents have reported receiving mail at their home from the EDD that is addressed to other people. In some cases, some have gotten over 100 letters. Dozens of EDD debit cards were recently sent to a vacant home.
Assemblyman Jim Patterson of Fresno joined 40 other Democrats and Republicans on Wednesday night to demand an emergency audit of the EDD.
"We are seeing the evidence now of what the waste fraud and abuse looks like at the EDD," said Assemblyman Jim Patterson. "I'm not going to make the claim that the EDD is an inside job, but I'm getting close... we have to find out whether the ring is inside or outside."
The EDD said they were aware of the issues facing the department and consumers and are working with officials to prosecute the scammers.
Of the victims of this scam, a 19-year-old who was waiting for his unemployment money, got his identity stolen and said the state paid all of his benefits to someone else.
Many people who have been encountering issues like these with the EDD say they've had a hard time getting connected with an employee or have spoken to someone, but didn't get their concern addressed.
Until the scammers are caught, Assemblyman Patterson says he's taking any reports of any fraud against the unemployment system to the police.