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Overpayments - Civil Actions and Prosecution of Offenders
The Unemployment Insurance (UI) Benefit Payment Control Unit of the South Dakota Department of Labor and Regulation investigates cases of fraud and abuse in the UI program. Fraud is defined as knowingly giving false information or failing to give information to obtain or increase benefits.
If you committed fraud to secure or increase benefits a monetary penalty and administrative penalty is applied. See our Collections page for more information.
If you know of anyone receiving UI benefits who may have committed fraud in order to receive or increase benefits, call the Benefit Payment Control Unit at 605.626.7649. Or visit our Reporting Possible Fraud page for information on how to report fraud.
If you make no payment on your overpayment, the Benefit Payment Control Unit may begin collection action.
- A lien may be filed against your real and/or personal property.
- A distress warrant may be sent to the county sheriff allowing the seizure of your belongings.
- A judgment may be granted to the Department of Labor and Regulation. Once the judgement is granted, your wages may be garnished.
Call the Benefit Payment Control Unit at 605.626.7649 for information on repaying your overpayment before any civil action is taken.
The Benefit Payment Control Unit investigates and refers cases of fraud for prosecution. Cases of fraud are prosecuted under South Dakota Codified Laws 61-6-38 and 61-6-40 (misrepresentation to obtain or increase benefits). Penalties include up to one year in the county jail and/or a $1,000 fine for a misdemeanor, or up to two years in the state penitentiary and/or $2,000 fine for a felony.