The US Department of Labor revealed that more than $45 billion in unemployment benefits were fraudulently paid to people who did not deserve them during the Covid outbreak, as well as a large number of workers laid off due to the effects of the pandemic.

A new report from the department’s inspector general, released Thursday, revealed that between March 2020 and April 2022, unemployment benefits were fraudulently paid totaling $45.6 billion.

In a previous report published in June, the cost of these thefts was estimated at one-third of that amount.

To date, more than a thousand people have been charged with involvement in these frauds.

Inspector General Larry Turner said in a statement that the numbers “highlight the magnitude of the problem,” noting “an unprecedented level of fraud and other unearned payments.”

The Covid pandemic devastated the American economy in March 2020, with more than 20 million employees laid off within two months.

At that time, the federal government expanded the base of recipients of unemployment benefits, and the cost and duration of these benefits increased.

The Office of the Inspector General stated: “In five months, more than 57 million unemployed people were registered.”

But a flood of claims opened a loophole for scammers as state governments responsible for paying unemployment benefits struggled to deal with the “huge increase in unemployment claims and make sure they’re paying the right amount to the right person.” according to the same source.

Fraudsters have misappropriated unemployment benefits, especially by applying in more than one state or by using the identities of deceased or imprisoned individuals.

The report said departments in the ministry “did not take sufficient steps to implement” the recommendations outlined in the various guidelines.

At the time, officials acknowledged that there were loopholes in some of the aid programs, but stressed the need to pay benefits quickly.

The departments struggled as they received an unprecedented number of demands, highlighting the weakness of their resources.