The U.S. Department of Justice issued a Fraud Alert for Unemployment Insurance claims on 2/26/21. The purpose of this alert is to warn of the issuance of erroneous forms 1099-G. The alert provides information about fraudulent claims and how to report them with links to the Office of Inspector General (OIG) and state UI offices.

According to the alert “Due to widespread fraud, much of it involving identity theft, Americans may receive a Form 1099-G indicating they have collected UI benefits when they have not done so. In other instances, Americans may receive a Form 1099-G, but later learn from the IRS or another Party that their identity was used to file for UI benefits unbeknownst to them.”

Please see the link for guidance on reporting and next steps should you or your employees become victims of this increasingly prevalent, fraudulent criminal activity.