LAS VEGAS (KTNV) — A Las Vegas man recently lost his job and applied for unemployment benefits, but he was shocked to learn someone was already collecting financial assistance using his name.
I spoke with one expert who says millions have been lost in fraudulent claims.
"Went online to set up an account, and it said it had already been owned by someone else," says Kevin Carson of Las Vegas.
CAN'T BELIEVE IT
He says he can't believe it and says this issue started three years ago.
"Back in 2020, while I had a job, my company came to me and asked me why I was applying for unemployment," he said.
This paperwork from the Nevada Department of Employment, Training and Rehabilitation shows someone in Brunswick, New Jersey, was collecting benefits under Carson's name. He filed the proper paperwork back in 2020 to clear his name.
Then, in 2021, Carson lost his job and applied for unemployment. He was surprised to learn someone was now using his name to collect benefits, this time in Comstock Park, Michigan.
Carson reached out to DETR again.
"DETR emailed me back stating that they would escalate it to their manager," he said.
Fortunately, Carson was able to find new work. Recently, Carson's company underwent a "reduction in workforce," and he's out of work again.
He applied for unemployment again, only to learn someone was still collecting benefits using his name.
Carson says he tried contacting DETR.
WASN'T GETTING ANYWHERE
"I wasn't getting anywhere," he said. "I tried to go online, and I tried to say that, you know, prove myself to them. No one was calling me back."
That's when he reached out to Channel 13.
"And I asked you guys for help, and they probably called me within a week," he said.
The problem is — Carson is still being denied benefits while DETR investigates.
Meanwhile, he finally has access to his account and can see the person using his name managed to collect more than $12,000 in unemployment.
We contacted DETR but were told they couldn't discuss Carson's case.
"Identity theft is a problem all across the board, just ask any credit card company. They have a reserve for it. DETR has no such reserve. They didn't understand that some people will scam them, and they got scammed in millions and millions of dollars," said Reno labor attorney Mark Thierman.
CLASS-ACTION SUIT
Thierman led a class-action lawsuit in 2020 accusing DETR of failing to pay Nevadans eligible for compensation.
The case was ultimately dropped as people involved in the suit started getting paid. Thierman says Carson isn't alone when it comes to fraudulent DETR claims.
"Sending checks to 37 people, sending their little pay card to the same place and mailbox. Sometimes, it's not even in the United States. DETR has a real problem," Thierman said.
Thierman says there are several serious issues within the department.
"Part of it is just incompetence. Part of it is their computer systems and part of it is they can't seem to relate to the idea that they're in the business of paying people. They're not in denying claims," Thierman said.
In the meantime, Carson is still hoping DETR will reverse their decision until he finds another job.
"If there is any type of compensation that I can get that comes my way, I would like to be able to have that to help offset having to use my personal savings," Carson said.
POTENTIAL FRAUD
DETR says the following are signs of potential fraud:
Employers: If you receive notification a claim has been filed for one or more of your employees who are still working.
Workers: Receiving any correspondence that you filed an unemployment claim when you did not file a claim for benefits.
Receiving an unemployment debit card at your address with someone else’s name.
You are told by a current or former employer that a claim has been submitted with your personal information.
REPORT FRAUD
Here's what to do if you’re a victim of fraud:
Go to DETR's website select the Unemployment Fraud tab on the left side of the page under “Quick links.”
Select Report Fraud to DETR.
DETR will flag the account so payments are not issued.
If you have an employer, as opposed to being an independent contractor or “gig worker” receiving PUA payments, it will also be noted in your employer’s file. Filers are asked to identify which program they report on — traditional UI, PUA, or both. If needed, the Department may reach out for additional information.
Additionally, individuals may file a complaint with the FBI’s Internet Crime Complaint Center.
