California Code of Regulations › Title 22 - Social Security › Division 1 - Employment Development Department › Subdivision 1 - Director of Employment Development › Division 1 - Unemployment and Disability Compensation › Part 1 - Unemployment Compensation › Chapter 10 - VIOLATIONS › Section 2113-1 - Restitution for Overpayment of Benefits

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) Policy.
It shall be the policy of the Employment Development
						  Department to maximize recoupment of overpayments from those claimants who have
						  received benefits to which they were not entitled. It shall also be the policy
						  of the department to seek prosecution of persons whom the department believes
						  have committed serious crimes against the Unemployment or Disability Funds.
						  Pursuant to the direction of the Legislature in Unemployment Insurance Code
						  Section
						  2113,
						  it shall be the department's policy to offer restitution to those persons who
						  are first offenders, whose violations may be considered less serious, and who
						  have not previously been offered restitution in lieu of
						  prosecution.
(b) Serious
						Criminal Offenses.
If the department has probable cause to believe a
						  person has conspired to defraud the department, or used a fictitious name or
						  social security number, or established a fictitious employer account, or forged
						  or counterfeited any department document or other document, for the purpose of
						  obtaining or increasing benefits, the department shall promptly investigate
						  such person. If, after investigation, the evidence so warrants, the department
						  shall seek a complaint under the appropriate Penal Code or Unemployment
						  Insurance Code provisions. The department shall not offer restitution in lieu
						  of prosecution to such person.
(c) Other Criminal Offenses.
If the department has probable cause to believe a
						  person has willfully made a false statement or representation or knowingly
						  failed to disclose a material fact in order to obtain or increase benefits, and
						  the department has probable cause to believe, as a result of such false
						  statement or representation or failure to disclose, such person received an
						  overpayment of benefits of more than $1,000.00, the department shall promptly
						  investigate such person. If, after investigation, the evidence so warrants, the
						  department shall seek a complaint pursuant to Section
						  2101 or
						  2102 of the code. The department
						  shall not offer restitution in lieu of prosecution to such
						  person.
(d) Persons Eligible
						for Restitution.
If the department has probable cause to believe a
						  person has willfully made a false statement or representation or knowingly
						  failed to disclose a material fact in order to obtain or increase benefits, and
						  the department has probable cause to believe, as a result of such false
						  statement or representation or failure to disclose, such person received an
						  overpayment of benefits of more than $250.00 but not more than $1,000.00, the
						  department shall promptly investigate such person. If, after investigation of
						  any person pursuant to this section, all of the following conditions exist, the
						  department shall offer restitution in lieu of prosecution to such
						  person:
(1) The overpayment is more
						than $250.00 but not more than $1,000.00.
(2) Such person has not previously been
						granted restitution in lieu of prosecution pursuant to Section
						2113 of the code.
(3) Such person has not been convicted of an
						offense under Section
						2101 of the code within three
						years preceding the mailing or personal service of a notice of intent to file
						criminal complaint pursuant to Section
						2113 of the code.
(4) The department has determined that such
						person has not accumulated more than 10 points under subdivision (e) of this
						section.