US Department of Labor recovers over $512M in fraudulent unemployment claims to US Treasury

WASHINGTON - The U.S. Department of Labor and its Office of Inspector General today announced the recovery of $512,138,478 in fraudulent CARES Act funds to the U.S. Department of the Treasury. This marks the second major recovery from the Maryland Division of Unemployment Insurance, bringing the total of funds recovered from the state to more than $1 billion.

"Today's return of hard-earned American taxpayer dollars represents more than a financial recovery - it reinforces our commitment to protecting American workers and the programs they depend on," said Acting Secretary of Labor Keith Sonderling. "This result was made possible through close coordination with the department's Office of Inspector General. Together, we are restoring trust and integrity in these programs and putting money back where it belongs - in the pockets of hardworking Americans."

These recoveries are the direct result of the Maryland Department of Labor's continued efforts to strengthen program integrity and combat fraud. Working with a financial institution, Maryland was able to identify and freeze the suspicious funds that were flagged by the department's Office of Inspector General and Employment and Training Administration.

"This is accountability in action - half a billion dollars in stolen taxpayer funds - identified, frozen, and returned to the Treasury. Through continued collaboration with the department and Acting Secretary Sonderling, we were able to produce real, measurable results for the American people," said Inspector General Anthony D'Esposito. "This recovery represents a major victory for the American taxpayer and is a clear demonstration of our commitment to clawing back every stolen dollar."

For additional information on the Department of Labor's Office of Inspector General, please visit oig.dol.gov. If you suspect wrongdoing involving Department of Labor programs or operations, contact 800-347-3756 or oig.dol.gov/hotlinecontact.htm.