Education and Workforce Development Cabinet
Kentuckians can now report unemployment insurance fraud by e-mail

FRANKFORT, Ky.  – Kentuckians now have a new avenue to report suspected unemployment insurance (UI) fraud – e-mail. The Kentucky Office of Employment and Training (OET) has set up a UI fraud inbox at oet.uifraud@ky.gov in addition to the telephone number that people have used to report the crime.

“E-mailing a UI fraud tip to oet.uifraud@ky.gov is an easy way for Kentuckians to report suspected fraud to the state,” said Allen Larson, director of the Division of Unemployment Insurance in OET. “They can still go to the local office or call (502) 564-3240 to report UI fraud, but this gives us one more tool to use in fighting this serious crime.”

Kentucky uses various methods to detect fraud, including random audits, computerized cross match and anonymous tips. There are six regional fraud investigators who check leads, verify audits and work with local prosecutors to bring criminal charges.

A fraudulent payment of $100 or more is a felony punishable by a jail sentence; requirement to repay the amount received with interest; and other penalties imposed by the court or the UI division, including disqualification from the program for a period of time for which you would otherwise be entitled to benefits, and the placement of a lien on your property. Last fiscal year, more than $5 million was overpaid as result of fraud, which resulted in more than 200 state court convictions.

The most common cases involve people who are working while receiving benefits or those who do not actively seek work. A claimant collecting benefits must report any work, even a temporary job, to the UI office. An intentional failure to do so is fraud. A growing source of criminal charges stems from people who purposely give false or incomplete information when they apply for benefits.

“We check every tip that people give us about possible fraud cases. In fiscal year 2010, our investigators were assigned more than 1,900 cases that came from anonymous tips and audits,” Larson said.

It is important you give as much information as you can to help the investigators pursue your tip. For example, having the correct name and current or previous employer of the person you suspect of committing fraud will help investigators pursue a tip.

Learn more about the Office of Employment and Training at http://oet.ky.gov.

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