Michigan reviews, overturns more unemployment fraud cases

Posted at 7:34 PM, May 03, 2017
and last updated 2017-05-03 19:34:10-04

LANSING, Mich. (AP/WXMI) — Officials with Michigan’s embattled unemployment agency continue to examine cases where people were accused of fraud and have overturned thousands.

The Unemployment Insurance Agency said Wednesday it has reviewed roughly half of a batch of 28,000 cases of alleged fraud. The agency has reversed about 44 percent of the reviewed cases.

For more than two years, the FOX 17 Problem Solvers has been investigating cases of false fraud claims in Michigan. The cases were identified by an automated computer system with some staff involvement. More than 20,000 cases handled solely by computer reviewed last year had a 93 percent error rate.

The state no longer uses the automated system to issue fraud determinations. Instead, employees investigate and make determinations.

Michelle Beebe, who has been director of Utah’s Unemployment Insurance Division, starts Monday as director of Michigan’s agency. Officials say her hiring and other actions are aimed at restoring public trust.​