§ 40-2-613. Benefit overpayments.  


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  • Benefit Overpayments.

    An overpayment of unemployment benefits shall be classified in one of three ways with recovery and recoupment to be conducted as follows:

    1.  Fraud overpayment:  in which an individual intentionally makes a false statement or representation or fails to disclose a material fact, and has received any sum as benefits to which the individual was not entitled.  The individual shall be liable to repay this sum, plus a penalty of twenty-five percent (25%) of the amount of the original overpayment and interest at the rate of one percent (1%) per month on the unpaid balance of the overpayment, to the Oklahoma Employment Security Commission.  Three-fifths (3/5) of the penalty amount collected shall be deposited in the Unemployment Trust Fund for the State of Oklahoma and the remaining two-fifths (2/5) shall be deposited in the Oklahoma Employment Security Commission Revolving Fund.  The interest shall cease to accrue when the total accrued interest equals the amount of the overpayment.  If an overpayment is modified, the interest shall cease to accrue when the total accrued interest equals the amount of the modified overpayment.  The Commission shall deduct the principal sum from any future benefits payable to the individual;

    2.  Claimant error overpayment: in which an individual, by mistake of law or fact, makes a false statement or representation or fails to disclose a material fact and has received any sum as benefits to which the individual was not entitled.  The individual shall be liable to repay this sum, plus interest at the rate of one percent (1%) per month on the unpaid balance of the overpayment, to the Commission.  The interest shall cease to accrue when the total accrued interest equals the amount of the overpayment.  If an overpayment is modified, the interest shall cease to accrue when the total accrued interest equals the amount of the modified overpayment.  The Commission shall deduct the principal sum from any future benefits payable to the individual; or

    3.  Administrative overpayment – in which:

    a.an individual has received any sum as benefits under the Employment Security Act of 1980 due to an error by the Commission or an employer, or

    b.an individual has received benefits and, under a redetermination or a reversal of a decision on appeal, the individual has been found to be not entitled to benefits.

    The individual shall be liable to have this sum deducted from any future benefits payable to the individual with respect to the benefit year current at the time of the receipt and the next subsequent benefit year that begins within one (1) year after the expiration of the benefit year current at the time of the receipt.  No interest shall accrue on administrative overpayments.

Added by Laws 1980, c. 323, § 2-613, eff. Oct. 1, 1980.  Amended by Laws 1981, c. 259, § 12, emerg. eff. June 25, 1981; Laws 1986, c. 205, § 5, emerg. eff. June 6, 1986; Laws 1987, c. 10, § 2, emerg. eff. March 31, 1987; Laws 1992, c. 318, § 1, eff. July 1, 1992; Laws 2002, c. 452, § 13, eff. Nov. 1, 2002; Laws 2005, c. 182, § 5, eff. Nov. 1, 2005; Laws 2012, c. 196, § 6, emerg. eff. May 8, 2012.