A Central Valley Congressman is reaching out to the IRS based on an ongoing KCRA Investigation into fraudulent claims with the California Employment Development Department or EDD.
Bank of America sued for role in massive EDD fraud Share Updated: 7:29 PM PST Jan 15, 2021 KCRA Staff Share Updated: 7:29 PM PST Jan 15, 2021
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Show Transcript REPORTER: AND WE’VE ALSO JUST LEARNED TONIGHT THERE’S BEEN A LAWSUIT FILED IN NORTHERN CALIFORNIA FEDERAL COURT AGAINST BANK OF AMERICA FOR ITS ROLE IN THE MASSIVE FRAUD THAT HAS PLAGUED EDD. THE SUIT SAYS BANK OF AMERICA HAS A ZERO LIABILITY POLICY FOR CARDHOLDERS FOR CARDS THAT ARE ACCESSED ILLEGALLY. BUT THE SUIT SAYS BFA DOES BEAR RESPONSIBILITY AND ACCUSES THE BANKING GIANT OF FAILING TO INSTITUTE STANDARD SECURITY MEASURES LIKE DEBIT CARD CHIPS TO GUARD AGAINST FRAUD. BANK OF AMERICA SENT A STATEMENT TO KCRA-3 INVESTIGATES SAYING WE HAVE ADDED THOUSANDS OF AGENTS TO ANSWER PHONE CALLS AND INVESTIGATE CLAIMS. THE VAST MAJORITY OF UNEMPLOYMENT FRAUD IS COMMITTED BY THOSE FILING FALSE APPLICATIONS, WHEN FRAUDULENT TRANSACTIONS OCCUR ON BENEFIT CARDS WE REVI
EDD problems persist as class action lawsuit filed against Bank of America
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Share: It s very frustrating because a lot of people could get into people s accounts, says Koning.
He is also dealing with serious health issues. I was born with just half a heart in my body and I was dead for six minutes and came back to life four times, said Koning who posted his story on YouTube. He says he needs that money returned for another surgery. I don t know what to do right now, he said.
He s not alone.
The Employment Development Department has millions of claims on hold. There was also a lockdown of accounts due to fraud. Now a class action lawsuit has been filed against Bank of America.
Unfortunately her elation didn t last long.
On Christmas Eve, she received a letter from the state. The account was the subject of fraud or suspicious activity and they closed down my account, she said as she looked over the letter.
Brett Johnson is known by the Secret Service as the original internet godfather. Now how did I get that title? In my case, 39 felonies, a place on the United States most wanted list, and escaped from prison and I built the first organized cybercrime community, he told us.
Johnson admits to filing tax returns for the dead in California and opening hundreds of phony bank accounts in their names.
Altogether, the Employment Development Department has nearly 2 million claim filers who are not receiving money at this time. That’s because of a mass lockdown.