Out Of Date System Cost NYS Over $11 Billion In Fraud During Pandemic
Written by Tariq on November 16, 2022
The New York State Comptroller Tom DiNapoli said the state lost at least $11 billion due to unemployment fraud during the first year of the COVID19 pandemic. According to the audit, the DOL failed to replace a “long-troubled” system that has been outdated since 2010. This made it easier for criminals to steal money. Auditors found that DOL had to compensate for its outdated system by overriding existing controls designed to prevent improper payments and implemented a “pay and chase” approach. That resulted in an increase in the risk of overpayments, payments charged to the wrong funding source, and fraud. Click Here To Read More.