LANSING (WKZO AM/FM) –The Michigan Unemployment Insurance Agency says it will return $21-million to 44-thousand people they wrongly accused of fraud, after a computer program that was created to identify cheaters went a little haywire.
In fact most of the people it accused of fraud were actually innocent.
It was installed to automate the process and to cut staff by the Snyder administration.State Rep.
Jon Hoadley says thousands who turned to the state in a time of need seeking assistance they earned, were instead charged with fraud and pursued like criminals.
Attorneys for some of the victims say the figure should be closer to $100-million dollars.They are trying to sue the state.
Not only did the victims lose benefits, but the state went after previous payments, prosecuting victims after they lost their jobs, and were at their most vulnerable. In the process, marriages broke up, homes were lost and lives were ruined.
