RICHMOND, Va. (WRIC) — The Virginia Employment Commission is investigating fraud that the agency said may have compromised 4,200 unemployment insurance claims.
The commission announced the investigation in a release on Wednesday, Oct. 5, adding few details other than that the agency is working with law enforcement and has isolated the group of claims that may have been impacted “to prevent further activity” on them and any other claims.
In a statement, VEC Commissioner Carrie Roth said the agency has already recouped some of the unemployment funds and is working to return the payments to those affected by the fraud.
“The team at the Virginia Employment Commission acted swiftly to identify the claimants impacted and prevent further illegal activity,” Roth said. “We are committed to resolving this issue and are working with law enforcement to pursue those responsible for these actions.”
The agency faced criticism and eventually a class-action federal lawsuit for its handling of a large backlog of jobless claims during the height of the pandemic.