Records: Virginia paid $40M in inmate unemployment scams

RICHMOND, Va. (AP) — The state agency that handles unemployment insurance in Virginia estimates it has paid out more than $40 million in benefits to individuals who submitted claims on behalf of inmates.

That disclosure was made in a criminal complaint filed in federal court last month against two former Virginia inmates.

It was first reported Friday by the Richmond Times-Dispatch.

The news comes as other employment agencies across the country are also facing questions about fraudulent payments and whether enough was done to prevent them.

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