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Delaware unemployment fraud attempts surge

by DrewLUD
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Terri Rosetta has received about a dozen letters from the state Department of Labor attempting to verify the employment of people who have never worked for her.  

She is the co-owner of the Milford diner.

“My concern is maybe restaurants are being targeted because a lot of them have closed down,” she said. 

But fraudulent unemployment claims are on the rise in Delaware and across the nation, — and all kinds of businesses are being named in the scams.

The Delaware Division of Unemployment Insurance received about 180,000 claims from March 2020 to March 2021. Over 6,000 of them were identified as attempted unemployment fraud, according to division director Darryl Scott.

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Terri Rosetta, co-owner of the Milford Diner, is concerned about multiple unemployment claims she's received that she suspects are fraudulent.

“In the past, those cases have been in the hundreds,” he said.

Most attempts at unemployment fraud are nixed when employees or employers receive a letter in the mail confirming a claim has been filed and report it as fraud. The Division of Unemployment Insurance also uses data analytics to identify suspicious patterns.

They’re also using information from other states’ investigations to identify potential fraud, such as the widespread identity theft scheme Maryland identified in July 2020.

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Source: GANNETT Syndication Service