In “Treasury Unit Warns Banks of Unemployment Fraud” (13 October 2020), The Wall Street Journal features Raymond Dookhie on the wave of fraud spinning from unemployment benefits in the wake of COVID-19. According to Ray, “The financial systems that are set up to monitor fraud in this current environment are being overloaded,” and “financial institutions are effectively at the front lines against the fight against fraud.” Recent guidance from FinCEN can help banks update monitoring systems as fraudsters’ methods evolve.
Ray notes, “For any surveillance program to be effective, it needs to be periodically updated to reflect the current environment. Given the pandemic, it’s important for those financial institutions to consider all of the types of fraud schemes that can occur.”
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