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OIG A-01-07-17039, Audit Report, Title II Benefits to Fugitive Felons and Parole Violators

Date: 
07/02/2008

As a result of the suspension of benefits to fugitive felons, OIG estimates SSA saved the Title II program about $404.3 million through March 2008. This includes (1) $47.3 million in fugitive felon overpayments that were recovered; (2) $218.6 million in ongoing monthly benefits that were withheld from the fugitive felons while their warrants remained unsatisfied; and (3)$138.4 million in ongoing monthly benefits that were withheld from beneficiaries while they were incarcerated following their apprehension.

OIG estimates that SSA had the potential to save an additional $249.6 million as of March 2008. This includes (1) $89.5 million in benefits that will likely be withheld over the next 12 months from beneficiaries whose warrants remain unsatisfied and (2) $160.1 million in overpayments that had not yet been recovered from the fugitive felons. SSA did not save approximately $60.3 million. This includes (1) $41.8 million in overpayments that were waived or deemed uncollectible and (2)$18.5 million that was paid to beneficiaries with outstanding felony warrants that will not be recovered because of the ruling in Fowlkes case.

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