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New state audit highlights state unemployment agency’s alleged shortcomings

Posted at 10:30 AM, Apr 21, 2016
and last updated 2016-05-06 15:04:42-04

LANSING, Mich. -- The Michigan Auditor General has released a new report highlighting problems with the Unemployment Insurance Agency's automated computer system.

The Michigan Integrated Data Automated System (MiDAS) decides whether a person is qualified for benefits and if a person who has received benefits has committed fraud. Over the past year, the FOX 17 Problem Solvers have done a series of reports highlighting flaws with the automated system. Innocent people have been accused of fraud and fined tens of thousands of dollars.

In fall of 2015, the agency claimed it would start having employees double-check MiDAS's findings. The new state audit finds that the UIA needs to better inform citizens of why they're accused of fraud and do a better job of communicating with them that the benefits they received are in question. It finds that the UIA also needs to do a better job of obtaining information before making the fraud finding.