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Maryland has uncovered a large criminal scheme involving over 47,500 fraudulent unemployment claims totaling over $501 million.

Governor Hogan said, the Maryland Department of Labor noticed an unusual spike in claims which were made using stolen identities and personal information from national data breaches.

Federal authorities have taken over the investigation because similar fraud was also found in other states.

Most of the claims were denied, according to Maryland Secretary of Labor Tiffany Robinson. Neither the state’s unemployment insurance system or applicants personal information was breached.

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