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Some feds continue to see fraudulent FSAFEDS deductions

June 17, 2024

READ FULL ARTICLE AT » https://federalnewsnetwork.com

Some employees have continued to see fraudulent deductions from their Federal Flexible Spending Accounts, weeks after FSAFEDS fraud was first reported.

Employees have reported fraudulent FSAFEDS deductions in paychecks as recently as June 7, Federal News Network has learned. FNN could not confirm the number of employees who have continued to see fraudulent deductions. The FSAFEDS fraud was originally estimated to impact approximately “several hundred” employees.

The Office of Personnel Management operates the FSAFEDS program through a contract with HealthEquity, a third-party vendor.

HealthEquity referred all questions to OPM. An OPM spokesman said the agency was continuing to work with the HealthEquity “to secure impacted accounts, refund impacted individuals, and implement additional anti-fraud controls.”

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