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Auditor: EDD asked Bank of America to freeze 344,000 accounts without having a way to fix them

Auditor: EDD asked Bank of America to freeze 344,000 accounts without having a way to fix them It didn’t have a plan or a method or approach it was going to use to assess all of those accounts and determine which are legitimate claimants, the auditor said. Author: Mike Duffy Updated: 6:15 PM PST February 8, 2021 SACRAMENTO, Calif. “I’m terrified. I’m scared. I’m running very very low on money and if we didn’t have my husband’s social security, I don’t know where we’d be right now,” Carly Gordon said. Gordon is just one of the hundreds of thousands of Californians in a similar position and answers can t come soon enough for people like her, who have been trying to get unemployment benefits since the beginning of the pandemic.

Newsom faces intensifying recall threat as pandemic frustrations grow in California

Newsom faces intensifying recall threat as pandemic frustrations grow in California As efforts to recall Gov. Gavin Newsom gather momentum, the California Democrat once heralded even by former President Donald Trump as a hardworking leader shepherding his state through crisis has been caught in what can only be described as a hurricane of bad news in the past few months, turning the sixth attempt to oust him via recall in two years into a real and unpredictable threat. It remains unclear whether recall proponents, led by a retired sergeant from a sheriff’s department west of Sacramento, will be able to gather the nearly 1.5 million valid signatures that they need by March 17 and, if they meet that threshold, how quickly a recall election would be set under the state’s complex, multi-step process.

Fallout from massive E D D unemployment fraud cases -

SAN DIEGO (KUSI) –  California Senate Republicans urged Gov. Gavin Newsom in a letter to take immediate action to help Californians who’ve been the victims of identity thieves pursuing unemployment insurance benefits and now are also at risk of tax liabilities. The victims of identity theft could unknowingly receive a 1099-G Form, which is used to report unemployment compensation without having actually received any compensation. Not long ago, the California State Auditor report revealed that $10 billion to $30 billion was paid in fraudulent unemployment insurance claims. Victims of fraud call the Employment Development Department (EDD) and are then told to call the Franchise Tax Board instead. Meanwhile, the FTB reroutes callers to the phone lines at EDD.

California victims of EDD fraud could face big tax bills

It all started with the envelopes. First a few, then dozens, and eventually in one instance more than a thousand envelopes at a time filling up mailboxes all across California. The envelopes all had return addresses for one of several divisions of California's Employment Development Department, or EDD. The addresses were all correct, but the names on the envelopes were not the people who lived there. Sign up for our Newsletters These were.

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