unemployment fraud

LANSING, MI (AP)--   The Michigan Supreme Court is taking a fresh look at a lawsuit filed on behalf of thousands of people who were wrongly accused of defrauding the unemployment program. 

The state appeals court said the plaintiffs waited too long to sue. But the Supreme Court says it will hear arguments at a later date after reading briefs about what should have triggered the six-month deadline.

LANSING, MI (AP)--   A legislative leader says he's open to establishing a compensation fund for thousands of people who were falsely accused of defrauding Michigan's unemployment system. 

Republican House Speaker Tom Leonard initially said Thursday the courts should decide compensation, which would have put him at odds with Republican Gov. Rick Snyder and others. A spokesman later clarified that Leonard misunderstood reporters' questions and opposes Democratic legislation to give victims damages for pain and suffering.

Computer error lawsuit against state dismissed by Court of Appeals

Jul 19, 2017

LANSING, MI (MPRN)--   The Michigan Court of Appeals dismissed a lawsuit claiming the state wrongfully accused thousands of people of unemployment fraud.  

In 2013, the state started using an automated system to flag fraud cases. But the system wrongly identified tens of thousands of people – and some of them sued to get their money back, plus fees and interest.

But the Court says they waited too long to file the lawsuit.

DETROIT, MI (AP)--   The Michigan appeals court has heard arguments in a case that is testing the state's legal obligations to thousands of people who were wrongly accused of unemployment fraud. 

Gov. Rick Snyder's administration admits that a computer system with no human supervision accused people of fraud. Tax refunds were seized, and the accused were hit with penalties and fines.