§ 52-06-33 — Recovery and recoupment - Penalty

A person who has received any amount of benefits under the North Dakota unemployment
compensation law to which the person is not entitled shall be liable to refund to the bureau for
the fund the amount so paid or to have such amount deducted from any future benefits payable
to the person under the North Dakota unemployment compensation law or the unemployment
compensation law of another state or the federal government following a finding that such
payment occurred. Such findings shall have become final and shall specify the reason for such
finding, the week or weeks for which such benefits were paid, and the amount of benefits so
paid. The bureau, in its discretion, may release such person from liability to refund when it finds
that recovery would be contrary to equity and good conscience. Amounts determined collectible
may be so collected by civil action in the name of the bureau. If the bureau has found that the
individual has made a false statement for the purpose of obtaining unemployment compensation
benefits to which the individual was not lawfully entitled, the bureau shall assess a monetary
penalty of fifteen percent of the amount of unemployment compensation benefits overpaid. The
penalty must be applied to all forms of state and federal unemployment compensation and the
federally mandated penalty amounts collected must be deposited in the state unemployment
compensation fund. Amounts unpaid on the date on which they are due and payable, as
determined by the bureau, may bear interest at the rate of one and one-half percent per month
from and after that date until payment plus accrued interest is received by the bureau. However,
no interest may be assessed for the first one hundred eighty days on any overpayment when
the bureau has found that the individual did not make a false statement to obtain benefits to
which the individual was not lawfully entitled.