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Multiple people report receiving fake unemployment claims across Tennessee Valley

Updated: Apr. 19, 2021 at 11:11 PM CDT
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HUNTSVILLE, Ala. (WAFF) - “Hopefully they can get a handle on this pretty quick before it starts snowballing out of control,” Ricky Young said.

Ricky Young works at Seal Tax Service in Russellville and says he got a letter in the mail Friday, confirming an unemployment claim was filed for an employee who doesn’t exist.

“The individual never worked for our company in any way, shape, form or fashion,”

Young says he immediately reported it to the Alabama Department of Labor, but knows Seal is not the only business that’s been targeted. Young knows of at least five others.

“They’re picking against real companies. It’s every little company along the way as far as Muscle Shoals, Haleyville, Red Bay. They’ll say, ‘well they may have worked here, they may not have worked here.’ Now their unemployment rates may be changed based on the fact that someone has hit them for unemployment,” Young said.

And in Madison, a similar situation is going on.

Max Bennett tells us he got a call from HR alerting him that his company received an unemployment claim filed under his name. But her never filed.

“They put out a memo that said that obviously the HR department is seeing a lot of these come in from across the company and that we should keep an eye out for them,” Bennett said.

And Bennett says his employer told him to report it at the state and federal level, and put a stop or pause on his credit report.

“What that does is if you’re actually trying to make a large purchase like a home, or a car. No one is going to sell you those things without getting a credit report first. So they’ll send it off to TransUnion or Experian and that will stop the person from being able to purchase things in your name,” he said.

We reached out to the Alabama Department of Labor for a comment on these fake claims, but have not heard back.

We know they are actively fighting fraud, this week they are launching a new way to log in to claims accounts.

You can find more details here.

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