The watchdog overseeing agencies under Gov. J.B. Pritzker has referred 177 cases to law enforcement in which there was “reasonable cause to believe” a state worker “improperly obtained” a federal pandemic business relief loan.
A woman walks into the Illinois Department of Children and Family Services office in Joliet in 2017. The agency had 25 cases of alleged Paycheck Protection Program fraud. The state Department of Human Services had 132 alleged cases.
The state IG, which found allegedly fraudulent loans totaling $4.5 million, used publicly available data on the widely used, and often abused, federal program to match loans to state employees, and then conducted investigations to determine if those loans were obtained by fraudulent means.To date, the vast majority of the founded cases — 132 — have been among employees at the state Department of Human Services.
In response to questions about the allegations of rampant PPP fraud at the Department of Human Services, Pritzker spokeswoman Jordan Abudayyeh called Hou “an exemplary public servant who has served with integrity and has taken every available step to ensure employees who have engaged in personal misconduct are held accountable.”
Pritzker “recently signed a law extending the statute of limitations to prosecute these crimes because he believes bad actors should be held accountable to the fullest extent of the law,” she said.“It is despicable that some state employees chose to lie to the federal government for their personal gain, but they are now being held accountable for those choices,” Abudayyeh said.
Department spokesman Patrick Laughlin called the fraud findings “deeply concerning” but said “the vast majority of IDHS’ roughly 14,000 state employees are hardworking people of strong character who work tirelessly to help the most vulnerable.”
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