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Welfare Fraud and Recoupment

Consequences of Fraud and Penalties 
 
 
What is Fraud? 

Committing fraud or an Intentional Program Violation (IPV) is when you make a false or misleading statement, hide or misrepresent or withhold facts to receive or to continue to receive extra benefits.

 

What happens if I commit Fraud? 

The Department of Human Services (DHS) may hold an administrative hearing, bring criminal charges or ask you to voluntarily sign a disqualification agreement if you are suspected of fraud.  You will have to pay DHS back and will also be disqualified from receiving benefits for 1 to 10 years.

 

What are some examples of committing Fraud? 

  • Trading or selling your FAP benefits or Bridge card.
  • Using FAP benefits or Bridge cards that belong to another household for your own household.  Remember, you must only use your FAP benefits to purchase food, seeds or plants to grow food for your household.
  • Not reporting income timely.
  • Making a false or misleading statement.

 

What are the penalties for committing Fraud? 

If you are found guilty in an administrative hearing or court for lying about where you live to receive benefits on two or more cases at the same time, you must repay the benefits you received and will be disqualified from receiving benefits for 10 years. 

If you are found guilty in court of trading FAP benefits for drugs, you will lose FAP benefits for 2 years. Your will lose benefits for life if you are found guilty of a second offense.

If you or any member of your household is found guilty in court of trading FAP benefits for firearms, ammunition, or explosives, you will lose FAP benefits for life.

If you or any member of your household is found guilty in court of trading, buying or selling FAP benefits, you will lose FAP benefits for life.

 

Who do I contact for more information?  

If you have any questions regarding potential program violations contact your local DHS County Office for information on what needs to be reported.

If you believe someone has committed fraud please call 1-800-222-8558.





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