EDD: 27% of California unemployment payments could be fraudulent, state says

Well, it appears that is just the tip of the iceberg.....it could be as much as $50 Billion funneled out of state or elsewhere.

This story is pretty nuts as far as complete state government failure entirely.

www.mercurynews.com...

At least $11 billion in unemployment claims made in California during the pandemic were fraudulent, state officials revealed Monday in a conference call about the reeling jobless benefits system designed to help millions of out-of-work residents.

And the extent of the fraud — already more than twice as large as earlier estimates — could be even more damaging, encompassing perhaps more than a quarter of the $114 billion paid out since government ordered business shutdowns began in March, sparking an avalanche of job losses.

“Roughly 10% of the $114 billion in claims are confirmed fraudulent, another 17% are potentially fraudulent,” California Labor Secretary Julie Su said during a question-and-answer session regarding the EDD’s efforts to combat unemployment insurance fraud. If 27 percent of the claims are determined to be fraudulent, that would amount to more than $30 billion.

I mean that is a massive amount of inexcusable failure.

Crazy this isn't headlines.

I have found Adam Housley to be pretty on point with his reporting too and he is saying it could be $50 Billion....that is just mind blowing to me.



twitter.com...

And an earlier one



That is some serious fraud....

That’s about as good as the stimulus payments going out of the country and to dead people. If something can be screwed up you can count on the government to not only screw it up but to do it lavishly and fantastically. It’s almost like they were spending someone else’s money and really didn’t care if some was wasted because well... they weren’t paying for it. Zero accountability.

This is who folks want running their healthcare. What could possibly go wrong?

What is even more disturbing is this quote:

estimated that anti-crime efforts have been able to block as much as $60 billion in fraudulent payments

So possibly $50 Billion got through, $60 Billion more were fraudulent but got caught, out of $114 Billion? How do those numbers even make sense?

That would mean only $4 Billion of the entire amount was legitimate....or they offset the other $60 Billion and added the $4 Billion to it.

Please correct me if I am wrong in my assessment of the article.....

a reply to: Vasa Croe

Similar here in Illinois. Massive fraud and just plain incompetence. Blue states attract both.

Wait till tomorrow when Biden announces that ObamaCare Open Enrollment will no longer be for 45 days @ year (Nov 1 thru Dec 15), but 365 days a year.

The fraud and cheating will go through the roof, as people sign up on Tuesday, get their gallstones removed the next week, and cancel the insurance coverage before the 2nd month premium is due.

This is what happens when you choose the policies this state has.
Support should be available, but it should not be through State or Federal government.
We live in the internet age, when folks can earn millions of dollars in support for ideas, or wrongs that need to be corrected, or other considerations. I understand the Idea that the government should work to protect you, but that has not been true over the past year with business closures "for our safety."
Why would we think it's true ever again?

It's mind boggling how much fraud is taking place. And innocent people are getting caught in its wake.

I was collecting PUA in California and my account was suspended on suspect of fraud. Something like 2 million accounts were frozen at the end of December.

All of my information was correct and I had legitimate documentation of everything I earned but I still got locked out.

I was required to verify my identity a little over two weeks ago and the EDD said I had 10 days to verify or else my account would be closed.

I verified the same day I recieved the notice but the company they outsourced to do the verification took more than 10 days to verify my identity so thats it for me, case closed in their eyes.

My conspiracy cap tells me that they knew it would play out this way.

Send out a notice to two million people that they have 10 days to get verified knowing that the outsourced company couldnt possibly handle tens of thousands or more verifications a day, close two million accounts and free up hundreds of millions if not BILLIONS for other people...or other things.

California's government is an absolute # show, I cant really stand it but I was born here and don't really have the means to leave either.

Once all the wealthy people leave and take all their tax money with them its going to become even more of a #hole...

And they want to be able to tax people for up to 5 years AFTER leaving the state xD

a reply to: MidnightBlue2565

That is really sad. I am surprised this isn't blowing up, but I would guess the Wall Street stuff is the biggest story right now.

I do hope this gets a real investigation as this is so corrupt and greedy, those involved should be in prison for life.

This is what happens when you throw trillions of dollars out the window. There is going to be massive fraud in all aspects of the Covid 'stimulus' bills.

Kansas will shut their entire system down this weekend due to the amount of fraud.

originally posted by: AugustusMasonicus
This is what happens when you throw trillions of dollars out the window. There is going to be massive fraud in all aspects of the Covid 'stimulus' bills.

Kansas will shut their entire system down this weekend due to the amount of fraud.

That one is bad, but the CA one is insane.

My tinfoil hat says the Wallstreet Gamestop crap was a False Flag to keep this story from getting out.

This would be one of the largest state government conspiracies in history.

originally posted by: Vasa Croe
This would be one of the largest state government conspiracies in history.

I don't think it's some sort of designed fraud, this is what happens when you toss trillions out the window. There was tons of fraud with TARP and every other government program where we just throw money at the problem.