Massachusetts Auditor DiZoglio’s Bureau of Special Investigations identifies over $12 million in public benefit fraud in FY2023

BOSTON – Today, State Auditor Diana DiZoglio released her tenure’s first annual fraud report. The fiscal year 2023 (FY23) Bureau of Special Investigations (BSI) annual report summarizes BSI’s work to help make government work better by investigating, under the law, fraud, abuse, and illegal acts involving public assistance benefits throughout the Commonwealth.

This year, BSI identified $12,322,688 in public assistance fraud in the fiscal year ending June 30, 2023. BSI completed 5,100 fraud investigations, a 40.8% increase from FY22.

“For many residents across the state, public benefit programs provide access to everyday essential items – such as food and medical supplies. It is through the efforts of our fraud examiners that we continue to help ensure public benefit programs operate with transparency, accountability, and equity,” said Auditor DiZoglio. “Our office will continue to work to ensure taxpayer dollars are used effectively and that resources are available to those who truly need and qualify for them.”

Below are the number of referrals received as new investigations from FY22 to FY23

The report includes tables and figures that shows fraud BSI identified and the referral source.

Lastly, this report highlights notable activity surrounding BSI’s cases since last year, including:

· The Central Processing Unit (CPU) received 8,643 new referrals for investigation in fiscal year 2023 (FY23) and processed, analyzed, and reviewed 5,552 referrals.

· The Fraud Investigations Unit (FIU) completed 981 cases in FY23, which contributed to identifying fraud totaling $9,551,227.91 in 756 cases.

· The Data Analytics Unit (DAU) generated 401 referrals to CPU, the majority of which alleged that personal care attendants (PCAs) failed to accurately disclose their income to the Department of Transitional Assistance (DTA) and MassHealth agencies as required while receiving public assistance benefits.

BSI investigates programs administered by DTA and the Division of Medical Assistance (which administers MassHealth). In addition, BSI has an agreement with the Department of Early Education and Care (EEC) to investigate fraud in that program as well. BSI receives referrals for investigation from its agency partners, public tips, referrals from federal agencies, and through the use of its data analytics tools. The public can report potential fraud to BSI at: https://www.mass.gov/how-to/report-public-benefit-fraud-to-the-office-of-the-state-auditor