Washington, D.C. -The House this week passed H.R. 8873, the Recover COVID Unemployment Fraud in Banks Act, a bipartisan bill led by Congressman Tom Suozzi (D-NY) and Congresswoman Beth Van Duyne (R-TX) to reclaim stolen pandemic unemployment funds and protect Americans from fraud. This bill extends the statute of limitations for remaining pandemic-related fraud cases and creates a task force to help states recover stolen money.
"Criminals took advantage of some of the most vulnerable Americans during the pandemic, including senior citizens, and Congress refused to let them get away with it," said Rep. Suozzi. "I'm proud to have helped pass this bipartisan bill to recover stolen taxpayer dollars, protect victims, hold fraudsters accountable, and root out waste, fraud, and abuse."
"Every dollar going to fraud is a dollar that does not go to Americans who truly need it, and it is not too late to recover stolen unemployment insurance funds. But, Congress must act now," said Rep. Van Duyne. "The Recover COVID Unemployment Fraud in Banks Act provides the coordination and accountability needed to reclaim these forgotten funds, return them to taxpayers, and ensure fraudsters are held accountable before these dollars become even harder to recover."
During the pandemic, more than 22 million Americans lost their jobs and millions relied on unemployment benefits to survive. While those benefits kept over five million people out of poverty, cybercriminals exploited the crisis, stealing people's identities and using them to fraudulently collect unemployment benefits in their name. Investigators estimate that some of these untouched unemployment funds are still sitting in the prepaid debit cards issued during the pandemic, with many victims unaware that their identity was stolen.
This bill will not only hold the perpetrators of fraud accountable by extending the statute of limitations on existing cases, but it will ensure victims of fraud are notified that their identity was stolen. It will also create a task force to cost-effectively recover the stolen money without diverting time, money, or resources away from future fraud prevention. Ways and Means Chairman Jason Smith (R-MO) praised Reps. Suozzi and Van Duyne for their bipartisan efforts to fight fraud and pass this legislation.
Read the full bill text
here.
Watch Rep. Suozzi's full floor remarks in support of the bill's passage
here.
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