State settles lawsuit over cases of false unemployment fraud
LANSING, Mich. (AP) — Michigan’s Unemployment Insurance Agency has settled a lawsuit in which it was sued for using an automated computer system that falsely accused thousands of people of fraud.
The suit was dismissed Thursday by U.S. District Judge Robert Cleland under an agreement between the state and the plaintiffs.
The state says the deal codifies practices put in place after it ceased so-called “auto-adjudications” in 2015. The United Auto Workers union, Sugar Law Center and individuals accused of fraud didn’t seek financial damages.
Lawyer David Blanchard says Michigan will implement safeguards to ensure claimants are notified of accusations and can respond.
He says the state for too long denied the problem, but his clients are “heartened” by new leadership acknowledging the problem.
Another lawsuit seeking financial damages is ongoing in state courts.
High court looking at big-box tax dispute
LANSING, Mich. (AP) — The Michigan Supreme Court is wading into a hot legal dispute over how to value big-box stores for tax purposes.
Values lately have been controversial in Michigan, especially in the Upper Peninsula where communities have been forced to give significant tax refunds based on decisions by the Michigan Tax Tribunal.
Escanaba last year successfully argued that the Tribunal used the wrong standard to determine the value of a Menards store. The Supreme Court has agreed to at least look at whether the state appeals court made the right call when it sent the Escanaba case back to the Tribunal for more work.
The court also wants the parties to submit arguments about the valuation analysis used by the Tribunal. The court's order was released Thursday.
Michigan Senate approves broad criminal justice bills
LANSING, Mich. (AP) — The Michigan Senate has overwhelmingly approved wide-ranging legislation that is aimed at keeping criminals from re-offending.
Supporters say the bills — the first approved in the new two-year term — would keep communities safer and save the state money by implementing evidence-based practices.
About half of those entering the prison system each year are parole or probation violators.
Proposals OK’d Thursday include limiting how long offenders can be incarcerated for technical violations of their probation and more clearly establishing sanctions for parole violators.
Another bill would require the Michigan Corrections Department to house 18- to 22-year-old inmates with other prisoners in the same age range. Legislators also want to define recidivism to better measure if anti-recidivism programs are working.
The legislation will next be considered by the House.
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