§ 594 — Reduction and recovery of benefits and penalties for wilful false statement

New York § 594

• Jurisdiction: New York
• Law LAB: Labor
• Title 7: Benefits and Claims
• Art. 18: Unemployment Insurance Law

Text

§ 594. Reduction and recovery of benefits and penalties for wilful\nfalse statement. (1) A claimant who has wilfully made a false statement\nor representation to obtain any benefit under the provisions of this\narticle shall forfeit benefits for at least the first one but not more\nthan the first twenty effective weeks following discovery of such\noffense for which he or she otherwise would have been entitled to\nreceive benefits. Such penalty shall apply only once with respect to\neach such offense.\n (2) For the purpose of subdivision four of section five hundred ninety\nof this article, the claimant shall be deemed to have received benefits\nfor such forfeited effective weeks.\n (3) The penalty provided in this section shall not be confined to a\nsingle benefit year but shall no longer apply in whole or in part after\nthe expiration of two years from the date of the final determination.\nSuch two-year period shall be tolled during the time period a claimant\nhas an appeal pending.\n (4) A claimant shall refund all moneys received because of such false\nstatement or representation and pay a civil penalty in an amount equal\nto the greater of one hundred dollars or fifteen percent of the total\noverpaid benefits determined pursuant to this section. The penalties\ncollected hereunder shall be deposited in the fund. The penalties\nassessed under this subdivision shall apply and be assessed for any\nbenefits paid under federal unemployment and extended unemployment\nprograms administered by the department in the same manner as provided\nin this article. The penalties in this section shall be in addition to\nany penalties imposed under this chapter or any state or federal\ncriminal statute. No penalties or interest assessed pursuant to this\nsection may be deducted or withheld from benefits.\n (5) (a) Upon a determination based upon a willful false statement or\nrepresentation becoming final through exhaustion of appeal rights or\nfailure to exhaust hearing rights, the commissioner may recover the\namount found to be due by commencing a civil action, or by filing with\nthe county clerk of the county where the claimant resides the final\ndetermination of the commissioner or the final decision by an\nadministrative law judge, the appeal board, or a court containing the\namount found to be due including interest and civil penalty. The\ncommissioner may only make such a filing with the county clerk when:\n (i) The claimant has responded to requests for information prior to a\ndetermination and such requests for information notified the claimant of\nhis or her rights to a fair hearing as well as the potential\nconsequences of an investigation and final determination under this\nsection including the notice required by subparagraph (iii) of paragraph\n(b) of this subdivision. Additionally if the claimant requested a fair\nhearing or appeal subsequent to a determination, that the claimant was\npresent either in person or through electronic means at such hearing, or\nsubsequent appeal from which a final determination was rendered;\n (ii) The commissioner has made efforts to collect on such final\ndetermination; and\n (iii) The commissioner has sent a notice, in accordance with paragraph\n(b) of this subdivision, of intent to docket such final determination by\nfirst class or certified mail, return receipt requested, ten days prior\nto the docketing of such determination.\n (b) The notice required in subparagraph (iii) of paragraph (a) of this\nsubdivision shall include the following:\n (i) That the commissioner intends to docket a final determination\nagainst such claimant as a judgment;\n (ii) The total amount to be docketed; and\n (iii) Conspicuous language that reads as follows: "Once entered, a\njudgment is good and can be used against you for twenty years, and your\nmoney, including a portion of your paycheck and/or bank account, may be\ntaken. Also, a judgment will hurt your credit score and can affect your\nability to rent a home, find a job, or take out a loan."\n