Suspected Unemployment Insurance Fraud and Identity Theft Information

Background

The CDSS has provided a recommended information notice to counties as a means to inform the client of resources for reporting suspected identity theft and/or benefit fraud. Counties may include the information provided on current client verification forms sent to recipients to verify unclear information, and should refer to program rules pertaining to signed affidavits and client statements.

In cases of identity theft, counties must not require households to provide any other proof, such as a police report or specific documents from the EDD to resolve any reporting discrepancies. Counties are reminded that a signed affidavit is an acceptable verification for resolving reporting discrepancies.

Suspected Unemployment Insurance Fraud and Identity Theft Information (SCD 2582) Form

A County Information Notice “Suspected Unemployment Insurance Fraud and Identity Theft Information” (SCD 2582) has been created by CDSS to provide applicants and recipients with resources and information on how to contact the proper agencies when they suspect someone has used their PII to gain benefits illegally. CDSS highly recommends that the information notice be sent to the applicant or recipient in conjunction with any case verifications being requested by the county to verify unclear information related to UI benefits issued in the applicant’s or recipient’s name reported on a potentially discrepant Income Eligibility Verification System - Payment Verification System (IEVS - PVS) match.

Additionally, counties may use the notice or the information provided in this section to inform an individual of their options when there is suspected UI fraud and/or identity theft by another individual using PII to apply for and receive benefits illegally from the EDD, Social Security Administration, or the county.

Reporting UI Fraud and Identity Theft

When applicants or recipients report they may be a victim of UI fraud, the county should direct clients to the EDD toll-free Fraud Hotline at 1-800-229-6297, or EDD’s fraud reporting web page.

Additionally, information and resources for victims of identity theft, including how to report identity theft, can be found on the California Attorney General’s website.

Note: For applicants or recipients that need further assistance with reporting fraud and/or identity theft, Bay Area Legal Aid in Santa Clara County can be reached by contacting: Bay Area Legal Aid, 4 North Second Street, Suite 600, San Jose, CA 95113, (800) 551-5554, or by visiting their website.

Staff are reminded that nothing in this section precludes the county from referring cases for investigation when public assistance fraud is suspected, in accordance with applicable regulations.

Important: It is necessary to document in the case record anytime a client has reported a suspected fraud claim or identity theft, and any actions that the county has taken to assist the client.

EDD Benefit Fraud

EDD benefit fraud is when individuals knowingly give false or misleading information in order to collect DI, PFL, and/or UI benefits they are not entitled to.

Examples of EDD benefit fraud include:

Using another person’s identity (for example, name, Social Security number) to file a fraudulent claim;
Stealing someone’s mail, which is a federal crime, and cashing their benefit payments;
Working while collecting UI benefits, and not reporting it to the EDD;
Aiding someone in filing a fraudulent claim;
Falsifying information or failing to disclose information;
Failing to accurately report hours of work and earnings;
Not reporting cash wages;
Certifying for UI benefits while intentionally reporting they looked for work when they did not;
Failing to be able and available for work (for example, out of the area, on vacation) while certifying for UI benefits;
Faking an illness or injury while collecting DI or PFL benefits;
Falsifying medical information to collect DI or PFL benefits.

Suspected Unemployment Insurance Fraud and Identity Theft Information

Background