More than $280 billion in COVID-19 relief meant for businesses and individuals intentionally was stolen by fraudsters, and another $123 billion was wasted or misspent, according to an Associated Press analysis published Monday. The lost monies to date represent 10% of the $4.2 trillion in COVID relief the US government so far has disbursed, the media outlet reported.

Back in March 2022, investigations in 660 tax and money-laundering cases uncovered more than $1.8 billion in alleged COVID-19 fraud that had occurred over the previous two years, IRS Criminal Investigation announced. 

The alleged COVID-19 fraud cases involved a broad range of criminal activity, including unemployment fraud, fraudulently obtained loans, and credits and payments meant for individuals, families and small businesses.

Grifters used Social Security numbers of dead Americans and federal prisoners to fraudulently collect unemployment benefits during the pandemic, sometimes in multiple states, according to the AP analysis.

“And federal loan applicants weren’t cross-checked against a Treasury Department database that would have raised red flags about sketchy borrowers,” the AP reported.

It wasn’t just the usual suspected criminals and gangs that were involved in the fraud, either, according to the analysis. Ordinary citizens and corporations also got caught up in greed.

“All of it led to the greatest grift in US history, with thieves plundering billions of dollars in federal COVID-19 relief aid intended to combat the worst pandemic in a century and to stabilize an economy in free fall,” AP reporter Richard Lardner wrote.

The feds began last fall to ramp up audit and investigation activities into healthcare COVID relief. At that time, more providers began receiving civil investigative demands related to use of COVID-19 funding.

In one instance previously reported by McKnight’s, a management company was accused of diverting $1.8 million in COVID relief funding awarded to a Sioux City, IA, nursing home.

Recently, a lab owner was accused of fraudulently billing Medicare and insurers for more than $358 million worth of COVID-related tests that nursing home clients said they neither wanted nor needed.