By Josh Lyle
California’s Employment Development Department has started to reach out to 1.4 million claims suspended before New Years’ with information to verify their claims.
SACRAMENTO, Calif — California’s Employment Development Department (EDD) is sharing new information about the identity verification process for people who had their unemployment benefits temporarily suspended.
Since New Year’s Day we’ve heard from thousands of people cut off from their benefits after the EDD froze many accounts due to what they called “suspected fraudulent behavior.”
We’ve now confirmed with EDD that the number of accounts suspended at the end of the year totals 1.4 million. EDD said it suspended the accounts after it applied additional fraud detection screening.
In an email to the Dollars and Sense team, EDD said the fraud screening identified about 3.5 million potentially fraudulent accounts. EDD had already disqualified about 1.9 million of the accounts and just before New Years’ suspended the remaining claims.
But we’ve heard from a lot of people caught up in the mass fraud suspensions who have legitimate claims and are now struggling without the money. EDD did not say why these legitimate claims got flagged.
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