Nearly $3 billion in pandemic relief was paid to undeserving claimants, records show. Less than a billion has been recovered to date, cabinet disclosed in an Inquiry Of Ministry tabled in the House of Commons..“The intended total recovery amount cannot be predicted with accuracy at this time,” wrote Revenue Minister Diane Lebouthillier. The figures, the most detailed to date, were divulged at the request of New Democrat MP Peter Julian (New Westminster-Burnaby, B.C.)..According to Blacklock's Reporter, authorities said notices had been sent to 1,723,472 Canadians who received the Canada Emergency Response Benefit but didn’t qualify. The figure represented 19% of 8.9 million individuals who received cheques..The CERB was the first of the COVID-19 relief programs passed by Parliament on March 25, 2020 just two weeks after the declaration of a global pandemic. The program was originally budgeted at $24 billion. Costs instead soared to $81.6 billion..The Canada Emergency Response Benefit Act paid $2,000 monthly to jobless tax filers facing eviction or foreclosure. “There is no doubt that when creating a program as quickly as we did, there is going to be some abuse of that program,” said Liberal MP Kevin Lamoureux (Winnipeg North), parliamentary secretary to the Government House Leader, told the Commons last November 29..Cost overruns were never explained. The number of claimants was approximately triple the number of unemployed at the peak of COVID-19 lockdowns. The Office of the Auditor General in a 2021 report Canada Emergency Response Benefit said it knew of outright fraud but counted only 30,000 suspected cases worth $42 million..The new Inquiry Of Ministry disclosed much higher figures. Cabinet said it was clawing back funds owed from 72,403 Employment Insurance claimants who received additional pandemic relief. Clawbacks toted $65.8 million..Of a total $2.9 billion paid in error to 1.7 million claimants overall less than a billion was recovered, said the Inquiry. “Of these notices of debt $960,140,944 has been repaid,” wrote staff. “The government intends to recover the full amount of the debt, $2.9 billion.”.Employment Minister Carla Qualtrough last November 25 said no penalties or interest would be charged on “benefit overpayments” under the now-disbanded program. “Canadians will not be put into financial hardship by having to repay emergency benefits they received,” Qualtrough said in a statement..“At the same time the government is committed to the financial stewardship of its programs and has zero tolerance for fraud,” said Qualtrough. Cabinet did not disclose the number of fraud investigations..Cabinet in a separate Inquiry Of Ministry requested by New Democrat MP Daniel Blaikie (Elmwood-Transcona, Man.) said it was pursuing overpayments of as little as $7 and as much as $14,000. “The average amount of outstanding debt on these notices is $1056,” wrote staff..The Canada Revenue Agency said it had spent $147.6 million worth of staff time auditing Emergency Response Benefit accounts. “The Agency is committed to ensuring individuals receive only the benefits to which they are entitled,” said the Inquiry.
Nearly $3 billion in pandemic relief was paid to undeserving claimants, records show. Less than a billion has been recovered to date, cabinet disclosed in an Inquiry Of Ministry tabled in the House of Commons..“The intended total recovery amount cannot be predicted with accuracy at this time,” wrote Revenue Minister Diane Lebouthillier. The figures, the most detailed to date, were divulged at the request of New Democrat MP Peter Julian (New Westminster-Burnaby, B.C.)..According to Blacklock's Reporter, authorities said notices had been sent to 1,723,472 Canadians who received the Canada Emergency Response Benefit but didn’t qualify. The figure represented 19% of 8.9 million individuals who received cheques..The CERB was the first of the COVID-19 relief programs passed by Parliament on March 25, 2020 just two weeks after the declaration of a global pandemic. The program was originally budgeted at $24 billion. Costs instead soared to $81.6 billion..The Canada Emergency Response Benefit Act paid $2,000 monthly to jobless tax filers facing eviction or foreclosure. “There is no doubt that when creating a program as quickly as we did, there is going to be some abuse of that program,” said Liberal MP Kevin Lamoureux (Winnipeg North), parliamentary secretary to the Government House Leader, told the Commons last November 29..Cost overruns were never explained. The number of claimants was approximately triple the number of unemployed at the peak of COVID-19 lockdowns. The Office of the Auditor General in a 2021 report Canada Emergency Response Benefit said it knew of outright fraud but counted only 30,000 suspected cases worth $42 million..The new Inquiry Of Ministry disclosed much higher figures. Cabinet said it was clawing back funds owed from 72,403 Employment Insurance claimants who received additional pandemic relief. Clawbacks toted $65.8 million..Of a total $2.9 billion paid in error to 1.7 million claimants overall less than a billion was recovered, said the Inquiry. “Of these notices of debt $960,140,944 has been repaid,” wrote staff. “The government intends to recover the full amount of the debt, $2.9 billion.”.Employment Minister Carla Qualtrough last November 25 said no penalties or interest would be charged on “benefit overpayments” under the now-disbanded program. “Canadians will not be put into financial hardship by having to repay emergency benefits they received,” Qualtrough said in a statement..“At the same time the government is committed to the financial stewardship of its programs and has zero tolerance for fraud,” said Qualtrough. Cabinet did not disclose the number of fraud investigations..Cabinet in a separate Inquiry Of Ministry requested by New Democrat MP Daniel Blaikie (Elmwood-Transcona, Man.) said it was pursuing overpayments of as little as $7 and as much as $14,000. “The average amount of outstanding debt on these notices is $1056,” wrote staff..The Canada Revenue Agency said it had spent $147.6 million worth of staff time auditing Emergency Response Benefit accounts. “The Agency is committed to ensuring individuals receive only the benefits to which they are entitled,” said the Inquiry.
