DOL Inspector General Testifies Before House Ways & Means on Billions in Pandemic Unemployment Insurance Fraud
Summary
Press release of the Office of Inspector General, U.S. Department of Labor, dated March 5, 2026. Inspector General Anthony D’Esposito testified before the House Ways & Means Subcommittee on Work & Welfare, warning that nearly $1 billion in unemployment insurance benefits remain unclaimed or frozen in prepaid debit card accounts across 21 states, with $912 million tied to potential fraud. The release states that the federal government distributed more than $888 billion in unemployment insurance benefits and that the office previously estimated at least $191 billion may have been improperly paid. It lists office results of 2,300 individuals charged, 1,800 convictions and $2.2 billion in monetary accomplishments.
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“DOL Inspector General Testifies Before House Ways & Means on Billions in Pandemic Unemployment Insurance Fraud.”
Original at www.oig.dol.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2026-03-09-dol-inspector-general-anthony-d-esposito-testifies-before-h-55f7dc62f6/
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OFFICE OF INSPECTOR GENERAL
U.S. DEPARTMENT OF LABOR
FOR IMMEDIATE RELEASE For Information, Contact:
March 5, 2026 LaborOIGinfo@oig.dol.gov
www.oig.dol.gov (202) 693-7100
DOL Inspector General Anthony D’Esposito Testifies
Before House Ways & Means on Billions in
Pandemic Unemployment Insurance Fraud
WASHINGTON – U.S. Department of Labor (DOL) Inspector General Anthony D’Esposito
testified today before the House Ways & Means Subcommittee on Work & Welfare during
the hearing titled “Reclaiming Forgotten Fraudulent Pandemic Unemployment Funds
Frozen by Banks,” warning that nearly $1 billion in taxpayer-funded unemployment
insurance benefits remain unclaimed or frozen in prepaid debit card accounts across 21
states — $912 million tied to potential fraud.
During the COVID-19 pandemic, the federal government distributed more than $888 billion
in unemployment insurance benefits. The Office of Inspector General (OIG) previously
estimated at least $191 billion may have been improperly paid, including more than
$76 billion stolen by fraudsters.
“Criminals exploited pandemic unemployment programs on a historic scale,” said Inspector
General D’Esposito. “The American people deserve accountability. Every dollar stolen from
taxpayers must be pursued, recovered, and returned.”
OIG investigators have relentlessly pursued criminal fraudsters and already delivered major
results:
• 2,300 individuals charged
• 1,800 convictions
• 55,000 months of prison sentences
• $2.2 billion in monetary accomplishments, which includes recoveries, restitution, and
forfeitures
Inspector General D’Esposito warned that hundreds of millions of dollars remain sitting on
unused debit cards or risk being transferred to state unclaimed property systems, making
recovery significantly more difficult.
The DOL OIG will continue working with federal, state, and local law enforcement to identify
fraud, recover taxpayer funds, and hold criminals accountable.
For additional information on DOL OIG’s oversight of the UI program, please visit
www.oig.dol.gov/doloiguioversightwork.htm. If you suspect wrongdoing involving DOL programs or
operations, contact the DOL-OIG Hotline at (800) 347-3756 or www.oig.dol.gov/hotlinecontact.htm.
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