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Diverse Technologies Corporation (DTC) assists Pennsylvania to combat Unemployment Compensation Fraud

Harrisburg, PA – The Pennsylvania Department of Labor & Industry, in collaboration with the Pennsylvania Justice Network (JNET), announced a new, automated cross–match system to identify and stop benefit payments to unemployment compensation (UC) climants incarcerated in the state’s county prisons.

Estimates by the Department of Labor & Industry indicate annual savings of nearly $12 million to the UC trust fund through a real–time benefits payment stop that occurs when UC claimants are incarcerated in 51 of the 63 counties that operate prisons. This estimate is based on the average size and number of weeks of payments.

"For many years, individuals have abused the UC trust fund by unlawfully collecting benefits while incarcerated," Labor & Industry Secretary Julia Hearthway said. "The capability to cross–match incarcerated individuals against UC claimants allows the department to stop payments rather than go to the added expense of ferreting out and trying to recoup erroneous payments made."

JNET is a secure portal used by criminal justice and public safety professionals to access data from local, state and federal agencies. When a new inmate enters a county prison that participates in JNET, the individual’s information is automatically compared against the UC rolls maintained by Labor & Industry. After L&I receives and verifies the report, the individual is immediately removed from active UC benefit status, saving the UC trust fund and the commonwealth’s businesses and employees millions of dollars.

DTC has provided support and leadership to JNET since 2004 as a prime contractor performing services to include; project management, policy development, architecture/engineering, application development/support, communications, quality assurance, training, and public relations. The DTC team is central to JNET’s successful evolution to a service–oriented architecture and implementation of the National Information Exchange Model (NIEM) message development process. The resultant JNET messaging infrastructure allows for the secure exchange of information between multiple agency systems and users with a comparatively nominal investment of time, money and resources.

"This is just one example of how we are using technology to make government programs more effective and efficient," said Secretary of Administration Kelly Powell Logan. "We were able to bring this service online for L&I with minimal cost and effort – an investment that will produce millions of dollars in savings for years to come."

"DTC is proud to have played such an integral role in the advancement of information exchange in the commonwealth and the nation." says DTC Chief Executive Officer O. Tyrone Barnett. "The success of this case emphasizes the very real opportunity to accelerate information sharing initiatives across multiple communities of practice, such as government administration, health and human services and public safety, realizing significant savings in tax dollars and time to delivery of services."

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