According to the Pandemic Response Accountability Committee (PRAC), about $400 billion in COVID relief funds may have been allocated using fake or stolen Social Security numbers.
The committee reported that the relief efforts put in place during 2020 were significantly compromised by abuse and fraud. The figures released in June 2025 show that this estimated amount makes up roughly 8% of total COVID relief payments.
PRAC has identified several pandemic relief programs, revealing that at least $80 billion was paid out for fraudulent claims.
They reviewed 662,000 ID records connected to COVID relief claims and discovered that at least 23,854 were fraudulently filed. Moreover, the Social Security Agency (SSA) informed PRAC that 11,514 of these IDs belonged to deceased individuals. The total estimated number of fraudulent Social Security numbers used for these deceptive claims stands at around 1.4 million based on their sample analysis.
“This kind of fraud could be largely avoided with the authorities and data tools available to PRAC,” the report noted. Additionally, implementing identity verification using trusted sources like the SSA would enable agents to focus their efforts on a much smaller pool of applications.
“More effective technical tools are essential for PRAC to tackle waste, fraud, and abuse in community response funding,” stated Michael E. Horowitz, the PRAC chairman. He added that advanced analytics could help identify and halt fraudulent payments, improve compliance and auditing, and assist in recovering lost funds.
Last year, Horowitz pointed out that the rush to distribute aid undermined proper internal controls. Many agencies pushed billions of dollars through quickly amid emergency relief efforts.
In a report from September 2020, PRAC recognized self-certification as a significant element contributing to the rise in fraud within COVID relief, blaming inadequate authentication of self-reported data to determine eligibility.
The Department of Justice (DOJ) is actively investigating alleged instances of COVID-19 relief fraud. Recently, multiple cases of suspicious behavior have been reported.
On June 6th, six individuals were charged with conspiracy, wire fraud, and money laundering in a scheme involving over $34 million in COVID relief. The defendants reportedly submitted more than 90 fraudulent applications across various programs, including PPP and EIDL.
Additionally, on May 22nd, three other individuals were sentenced in connection with a scheme to defraud the Georgia Department of Labor, totaling $30 million in COVID-19 aid fraud. They filed upwards of 5,000 fraudulent unemployment claims, resulting in significant losses.
The DOJ has stated that law enforcement at all levels is maintaining a high level of vigilance to investigate various reports of fraudulent activities related to COVID.
Horowitz emphasized the committee’s commitment to root out fraud and abuse associated with government relief payments. He asserted that those involved in fraudulent activities related to pandemic programs would face accountability, hoping these actions would deter future misconduct.
