MI HB5165

Employers may report fraudulent unemployment claims where the claimant is an impostor, submitting reports by mail, fax, or through a state website with supporting facts, evidence, and contact information.

Affected individuals can submit affidavits to employers or the unemployment agency declaring they did not file the claim, available on a state-provided form requiring name, address, Social Security number, and signature.

Upon receiving both a report and affidavit, the unemployment agency must determine within 2 business days whether identity theft occurred and cancel fraudulent claims; if only one document is received, the agency must notify the alleged impostor to provide identity proof within 10 days or face payment suspension and investigation.

Employers whose accounts were charged for benefits paid to impostors must be credited within 60 days after a final determination of identity theft; employers submitting frivolous reports or individuals misrepresenting information face sanctions and penalties.

The unemployment agency director must appoint an individual to oversee criminal and civil referrals, review anti-fraud procedures, make recommendations for improvement, and coordinate with the auditor general; the agency must report annually to legislature on impostor claims starting January 31, 2019.