Fraudulent Unemployment Benefits Reported in North Carolina
A recent audit from the North Carolina State Comptroller’s Office has revealed that substantial amounts of fraudulent unemployment benefits were issued during the tenure of former Democratic Governor Roy Cooper and in the time that followed his departure from office. This comes as Cooper is now campaigning for a Senate seat against Republican candidate Michael Whatley.
According to the report, which covers the period from April 1, 2021, to March 31, 2025, approximately $47.2 million in fraudulent unemployment payments were processed through the state’s Department of Commerce’s Office of Employment Security. Cooper served as governor from January 2017 until January 2025.
Out of the significant sum of $47.2 million in identified fraudulent payments, only $12.1 million has been retrieved. The audit also highlighted that the rate of improper unemployment payments averaged 22%, which is notably higher than the federal benchmark of 10%. This figure also exceeds the 18% rate found in a previous audit.
The report classifies improper payments as those made to ineligible recipients, as defined under North Carolina law. This group includes individuals without satisfactory immigration status, such as “illegal aliens.”
The state auditor expressed concerns regarding Cooper’s “lack of urgency” in dealing with the issue. Additionally, while Cooper’s Employment Security office applied for and received a federal grant of $6.8 million to tackle the overpayment situation, the implementation of a job search repository took three years. The Department of Employment Security did not specify the reasons behind these delays.
This audit emerges while Cooper is seeking a position in the U.S. Senate. Notably, he has shown opposition to the American Rescue Act, which mandates voter ID for federal elections, despite a campaign event on May 14 where he requested attendees to identify themselves against an RSVP list. He had previously vetoed a voter ID law during his governorship, arguing it would create obstacles and suppress the voting rights of minority, poor, and elderly populations.
During his time as governor, the Cooper administration dealt with the housing of approximately 3,500 inmates due to legal actions from organizations like the ACLU and NAACP during the pandemic. A study by the North Carolina Sentencing and Policy Advisory Commission indicated that 48 percent of those released reoffended, with over 600 subsequently committing felonies and 18 later charged with murder. Republican Senate candidate Michael Whatley has emphasized that Cooper must be held accountable for these releases.
