2023 New York Laws › LAB - Labor › Article 18 - Unemployment Insurance Law › Title 7 - Benefits and Claims › 594 - Reduction and Recovery of Benefits and Penalties for Wilful False Statement.

§  594.  Reduction  and  recovery of benefits and penalties for wilful
false statement.   * (1) A  claimant  who  has  wilfully  made  a  false
statement  or  representation to obtain any benefit under the provisions
of this article shall forfeit benefits for at least the first  four  but
not  more  than  the  first eighty effective days following discovery of
such offense for which he or she otherwise would have been  entitled  to
receive  benefits.  Such  penalty  shall apply only once with respect to
each such offense.
* NB Effective until the first Monday after October 1, 2024 or 30 days
after the commissioner of labor certifies that the department  of  labor
has  an  information  technology  system  capable  of  accommodating the
amendments in chapter 277 of 2021, whichever occurs earlier (see chapter
56 of 2024 Pt.Z-§1 for further provisions)
* (1)  A  claimant  who  has  wilfully  made  a  false  statement   or
representation  to  obtain  any  benefit  under  the  provisions of this
article shall forfeit benefits for at least the first one but  not  more
than  the  first  twenty  effective  weeks  following  discovery of such
offense for which he or  she  otherwise  would  have  been  entitled  to
receive  benefits.  Such  penalty  shall apply only once with respect to
each such offense.
* NB Effective on the first Monday after October 1, 2024  or  30  days
after  the  commissioner of labor certifies that the department of labor
has an  information  technology  system  capable  of  accommodating  the
amendments in chapter 277 of 2021, whichever occurs earlier (see chapter
56 of 2024 Pt.Z-§1 for further provisions)
* (2)  For  the  purpose  of  subdivision four of section five hundred
ninety of this article, the claimant shall be deemed  to  have  received
benefits for such forfeited effective days.
* NB Effective until the first Monday after October 1, 2024 or 30 days
after  the  commissioner of labor certifies that the department of labor
has an  information  technology  system  capable  of  accommodating  the
amendments in chapter 277 of 2021, whichever occurs earlier (see chapter
56 of 2024 Pt.Z-§1 for further provisions)
* (2)  For  the  purpose  of  subdivision four of section five hundred
ninety of this article, the claimant shall be deemed  to  have  received
benefits for such forfeited effective weeks.
* NB  Effective  on  the first Monday after October 1, 2024 or 30 days
after the commissioner of labor certifies that the department  of  labor
has  an  information  technology  system  capable  of  accommodating the
amendments in chapter 277 of 2021, whichever occurs earlier (see chapter
56 of 2024 Pt.Z-§1 for further provisions)
(3) The penalty provided in this section shall not be  confined  to  a
single  benefit year but shall no longer apply in whole or in part after
the expiration of two years from the date of  the  final  determination.
Such  two-year  period shall be tolled during the time period a claimant
has an appeal pending.
(4) A claimant shall refund all moneys received because of such  false
statement  or  representation and pay a civil penalty in an amount equal
to the greater of one hundred dollars or fifteen percent  of  the  total
overpaid  benefits  determined  pursuant  to this section. The penalties
collected hereunder shall  be  deposited  in  the  fund.  The  penalties
assessed  under  this  subdivision  shall  apply and be assessed for any
benefits paid  under  federal  unemployment  and  extended  unemployment
programs  administered  by the department in the same manner as provided
in this article. The penalties in this section shall be in  addition  to
any  penalties  imposed  under  this  chapter  or  any  state or federal
criminal statute. No penalties or interest  assessed  pursuant  to  this
section may be deducted or withheld from benefits.
(5)  (a)  Upon a determination based upon a willful false statement or
representation becoming final through exhaustion  of  appeal  rights  or
failure  to  exhaust  hearing  rights,  the commissioner may recover the
amount found to be due by commencing a civil action, or by  filing  with
the  county  clerk  of  the  county where the claimant resides the final
determination  of  the  commissioner  or  the  final  decision   by   an
administrative  law  judge,  the appeal board, or a court containing the
amount found to  be  due  including  interest  and  civil  penalty.  The
commissioner may only make such a filing with the county clerk when:
(i)  The claimant has responded to requests for information prior to a
determination and such requests for information notified the claimant of
his  or  her  rights  to  a  fair  hearing  as  well  as  the  potential
consequences  of  an  investigation  and  final determination under this
section including the notice required by subparagraph (iii) of paragraph
(b) of this subdivision. Additionally if the claimant requested  a  fair
hearing  or  appeal subsequent to a determination, that the claimant was
present either in person or through electronic means at such hearing, or
subsequent appeal from which a final determination was rendered;
(ii) The commissioner has  made  efforts  to  collect  on  such  final
determination; and
(iii) The commissioner has sent a notice, in accordance with paragraph
(b) of this subdivision, of intent to docket such final determination by
first  class or certified mail, return receipt requested, ten days prior
to the docketing of such determination.
(b) The notice required in subparagraph (iii) of paragraph (a) of this
subdivision shall include the following:
(i) That the commissioner intends  to  docket  a  final  determination
against such claimant as a judgment;
(ii) The total amount to be docketed; and
(iii)  Conspicuous  language  that  reads as follows: "Once entered, a
judgment is good and can be used against you for twenty years, and  your
money,  including a portion of your paycheck and/or bank account, may be
taken. Also, a judgment will hurt your credit score and can affect  your
ability to rent a home, find a job, or take out a loan."