uif loses millions due to fraud
6 March 2007

The Unemployment Insurance Fund is losing millions of rand in fraudulent claims every year, a UIF spokesperson said on Monday.

"However, the losses are a fraction of what we pay out every year," said Kgomotso Sebetso.

The UIF pays out R3-billion to 800 000 people every year.

Sebetso said people continued to receive payment from their insurance fund even though they have found new jobs.

"This is against the law, and people must realise that it is fraud."

He said the UIF was following up on a "debt list" which listed the names of people receiving their pension funds while employed.

"We wrote letters to the relevant people telling them how much they owe, and they would have to pay the amount back," said Sebetso.