More than $2.6 Million in Potentially Fraudulent LWA Payments Were Linked to DHS Employees’ Identities

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Date Issued

Wednesday, September 28, 2022

Submitting OIG

Department of Homeland Security OIG

Other Participating OIGs

Department of Homeland Security OIG

Agencies Reviewed/Investigated

Department of Homeland Security

Components

Federal Emergency Management Agency (FEMA)

Report Number

OIG-22-73

Report Description

The Federal Emergency Management Agency (FEMA) did not implement controls to prevent state workforce agencies (SWA) from paying more than $2.6 million in Lost Wages Assistance (LWA) for potentially fraudulent claims made by Department of Homeland Security employees, or claimants who fraudulently used the identities of DHS employees to obtain LWA benefits.

Report Type

Audit

Special Projects

Pandemic

Agency Wide

Yes

Number of Recommendations

Questioned Costs

Funds for Better Use

Open Recommendations

This report has 1 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use	Additional Details
4	No	$0	$0
We recommend the Chief Human Capital Officer for DHS’ Management Directorate develop, implement, and communicate departmental policies and procedures for the Unemployment Compensation for Federal Employees program to each component to ensure compliance with Federal requirements.