Michigan Unemployment Agency Faces Thousands of False Fraud Lawsuits

by | Jul 8, 2017 | Criminal Defense | 0 comments

A computer error accusation that most residents of Michigan were receiving employment benefits falsely has been reviewed. The result is that almost half of all the fraud cases are due to be reversed. The confirmation of the unemployment office for the state has confirmed that in another half of the cases that came to the limelight there was evidence of fraudulence.

Out of the 14,454 cases examined, a total of 7,582 (52%) had clear indications of fraud. The investigation into the cases was originally started in 2013. The Unemployment Insurance Agency for Michigan said that 7,582 had been reviewed. About 48 percent of the cases or a total of 6,872 were reversed after the state obtained additional information from the claimant.

Due to the computer error, the office of unemployment is expecting that it will review nearly 28,000 cases that the computer flagged as suspect. The state of Michigan gave assurances that the entire process will be finished by July. However, of the cases that came up, not all were a result of a computer mistake. It has been confirmed that another batch was flagged because of the involvement of a staff member. The cases attributed to the system of equipment were just 20,000.

Consequent to such an embarrassing spectacle of the false accusation by the state, the Unemployment Insurance Agency for Michigan stopped make use of technology information to determine cases of fraud benefits in August 2015. Presently, the number of cases of fraud that have been overturned is about 13 percent, and here have been refunds for all cases. The unemployment agency added that more than $722,000 for the reversed cases of fraud had been repaid. The penalties for some situations that were overturned have not been collected.

Even as the war is raging about the fraud complaints, the unemployment agency is undergoing complete restricting so that future occurrences can be prevented. Now the company is facing multiple lawsuits about customer service and a barrage of unceasing complaints. The embattled unemployment body is accommodated within the Michigan Talent Investment Agency, and from Monday, it will be steered by a new director. The former director, Sharon Moffett-Massey has been reassigned to work on special projects, and in his place comes the former Director of the Unemployment Insurance Division of Utah, Mr. Michelle Beebe.

Have you been falsely accused by a state agency or another party? You have have be entitled to compensation. Contact the experienced attorneys at Michigan Legal Center to have the facts of your case analyzed. Call us today at 800-961-8477 for a free case evaluation.

Cadillac, MI – Child Injured in Bicycle Crash at Granite & Laurel St

Cadillac, MI (June 3, 2023) - A 12-year-old boy was hurt while riding a bike in Cadillac on Friday night, June 2.  The fatal accident was reported at the corner of Granite and Laurel Street at around 6:40 p.m. The victim was traveling by bicycle when he was hit by a...

Algonac, MI – Debra Fox Killed in Boating Accident at Algonac Harbor Club

Algonac, MI (June 3, 2023) - A Clarkston woman was killed in a boating accident in Algonac over the weekend on Friday, May 26.  The deadly accident took place at the Algonac Harbor Club on M-29 near State Street. When emergency responders arrived, they found a 23-foot...

Imlay City, MI – Woman Killed, Man Hurt in Can-Am Spyder Motorcycle Crash on M-53

Imlay City, MI (June 3, 2023) - A woman was killed and a man injured following a crash involving two motorcycles in Imlay City on Sunday afternoon, May 28.  The fatal accident was reported on M-53 as the woman was riding a Can-Am Spyder three-wheeled motorcycle and...

Flint Twp, MI – Two Killed, One Hurt in Wrong-Way Crash at I-75 & Beecher Rd

Flint Twp, MI (June 3, 2023) - A head-on crash in Flint Township on Saturday, May 27, left two people dead and another in critical condition.  At around 10:35 p.m., two vehicles collided on Interstate 75 near Beecher Road. It was reported that a 43-year-old man from...

Holly Twp, MI – Burton Man Killed in Motorcycle Crash at Belford & Holly Rd

Holly Twp, MI (June 3, 2023) - On Monday, May 29, a motorcyclist was killed following a collision in Holly Township.  The deadly accident was reported at the intersection of Belford and Holly Roads early that morning. A 53-year-old Burton man was headed northbound on...

Gladwin, MI – Woman Hurt in Three-Vehicle Crash on M-61

Gladwin, MI (June 3, 2023) - A woman was injured after a pileup collision in the Gladwin area on Tuesday, May 23.  The accident was reported on M-61 that afternoon. Three vehicles reportedly collided at the scene. A woman was hurt in the crash, and she was treated at...

Kingsford, MI – Two Hurt after Car Crashes into Healthcare Building on Pyle Dr

Kingsford, MI (June 3, 2023) - Two people were injured after a vehicle crashed into a building on Pyle Drive in Kingsford on Thursday afternoon, June 1.  The accident occurred as a 2003 Ford Crown Victoria was traveling on the roadway and crashed into the Northpointe...

Walker, MI – Driver Seriously Hurt in Two-Car Crash at Elmridge Dr & 3 Mile Rd

Walker, MI (June 3, 2023) - Two people were injured after a two-vehicle collision in Walker on Wednesday, May 31.  The accient was reported at the intersection of Elmrige Drive and 3 Mile Road at around 8 a.m. A driver was making a left turn when they were hit by an...

Frenchtown Twp, MI – Monroe Man Dies in 18-Wheeler Crash at Telegraph & Newport Rd

Frenchtown Twp, MI (June 2, 2023) - On Monday, May 29, a Monroe man was killed after being hit by a semi-truck in Frenchtown Township.  The victim was riding a 1989 Honda Hurricane motorcycle when he was hit by a black 2020 Peterbilt tractor-trailer at the...

Gaines Twp, MI – Britt Bridge Killed in Motorcycle Accident at Morrish & Hill Rd

Gaines Twp, MI (June 2, 2023) - A crash involving a pickup truck and a motorcycle in Gaines Township resulted in the death of a Swartz Creek man on Saturday, May 27.  The deadly crash occurred at the corner of Morrish and Hill Roads at around 11 p.m. that night. It...