News

At least 140,000 of the 340,000 unemployment accounts flagged for potential fraud by Michigan’s unemployment agency have since been confirmed as legitimate, officials said Friday.

The state recently began a widescale investigation of possible unemployment fraud after reports that scammers have been using stolen personal information from data breaches to apply for benefits across the country.

Stop payment notices were issued to about 340,000 active unemployment accounts flagged for possible fraud in Michigan, and claimants with flagged accounts were asked to submit additional information to determine their credibility.

Since then, 140,000 of those flagged accounts have been verified by the state, and unemployment benefits are expected to resume within days for those claimants, the state’s Unemployment Insurance Fraud Task Force announced Friday afternoon.

Michigan Unemployment Insurance Agency Director Steve Gray said the agency’s focus remains on validating authentic claims as quickly as possible while helping state and federal agencies detect fraudulent activity.