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TRENTON – A two-bill package sponsored by Senate Labor Committee Chairman Fred H. Madden to close loopholes in how the state directs and deposits penalties recovered from fraudulently obtained unemployment benefits, has advanced for further consideration.

“The penalties collected from fraudulent insurance benefits are directly reinvested to help New Jersey residents who have lost their jobs in the economic downtown. Unfortunately, the unemployment compensation system is dictated by a complex patchwork of rules, and sometimes weeks can go by before these fines are actually deposited,” Senator Madden, D-Gloucester and Camden. “Standardizing these procedures is an important step to take bureaucracy out of the process, so that we can provide timely assistance for those who truly need it.”

TRENTON – A two-bill package sponsored by Senate Labor Committee Chairman Fred H. Madden to close loopholes in how the state directs and deposits penalties recovered from fraudulently obtained unemployment benefits, was approved today by the committee.

“While the state is legally authorized to collect penalties from individuals who fraudulently obtain unemployment benefits, we need to make sure that strict guidelines are in place so that these funds are managed in a timely and uniform manner,” said Senator Madden, D-Gloucester and Camden. “These bills are about improving transparency and standardizing the way that funds are directed under the state and federal unemployment compensation process, so that there is sufficient funding left for those who truly need it and none of it goes to waste.”