Fraudulent Unemployment benefits ACH

Posted By: PATSGirl74

Fraudulent Unemployment benefits ACH - 10/21/21 06:30 PM

Recently learned that the FI received a few unemployment insurance deposits (via ACH) which were determined to be fraudulent. Action was taken in the manner below on the previous compliance officers recommendation. Compliance officer no longer here - I am being presented with this info now.

* Account frozen - access to funds removed (account holder has not made any attempt to access funds)
* SAR filed
* Funds were removed from member account and are being held in a general ledger account

??? Question1 - What should the next step be with the funds? I don't think they should remain in the G/L. Advice on returning funds to the issuing States
??? Question 2 - I do not think law enforcement was contacted - other than filing the SAR - should we contact now?

I feel like SO MUCH MORE should have been done.
Posted By: rlcarey

Re: Fraudulent Unemployment benefits ACH - 10/21/21 06:48 PM

The bank is not the police and has absolutely no right or power to seize funds. I would be in contact with my legal counsel at this point.
Posted By: HappyGilmore

Re: Fraudulent Unemployment benefits ACH - 10/21/21 08:02 PM

if they were deemed to be fraudulent why were they not returned to the originator?

some links that may provide assistance
Posted By: PATSGirl74

Re: Fraudulent Unemployment benefits ACH - 10/22/21 02:00 PM

Wish I knew - all took place before I came here. Former CO has since retired. Thanks for the reference docs Much appreciated