IRS Chasing Hundreds of Possible Pandemic Relief Fraud Cases

The IRS has hundreds of open investigations into potential Covid-19 relief fraud, the new head of the Criminal Investigation Division said Tuesday.

The agency is pursuing cases around the country concerning fraud in economic impact payments, Paycheck Protection Program loans, payroll tax actions, and economic injury disaster loans, James Lee said during a virtual tax conference hosted by UCLA Extension. Lee took on the role Oct. 1.

“We think there’s going to be some significant cases there, and our involvement increases monthly,” he said.

• The division, rebounding from the agency’s pandemic lockdowns, is making the hiring ...