JACKSON, Wyo. β U.S. Senator Mike Enzi, R-Wyo., is seeking answers about how the Trump administration is responding to fraud and abuse by foreign entities when it comes to unemployment insurance.
βItβs concerning that my state of Wyoming was a target for a foreign fraud ring,β Enzi said at a Finance Committee hearing this week focused on unemployment insurance during the COVID-19 pandemic.
Secretary of Labor Eugene Scalia, who testified at the hearing, said the coronavirus has upended a lot of things, including the risk of fraud in the unemployment system. He said there are many different mechanisms in place to address the βhighly-sophisticated criminal enterprises that have engaged in fraud in the system.β
βWe are working with our Inspector General, weβve been working with other federal agencies and weβve been working with the states,β Scalia said. βWe will continue to work on it hard. We know itβs real. We know itβs in some cases interfering with the delivery of benefits to people who are entitled to them, so we will stay on it.β
In May, the Secret ServiceΒ alertedΒ several states that a well-organized Nigerian fraud ring was carrying out a sophisticated attack to fraudulently apply for and receive millions of dollars in unemployment insurance. Washington state was the main target, but there was evidence of attacks in six other states, including Wyoming.