Veterans Affairs Faces Ongoing Fraud Challenges Amid Push for Reforms

Federal officials and lawmakers recognize the presence of fraud and abuse in the Department of Veterans Affairs’ benefits system, yet they assert that recent reports have exaggerated the issue. **

The VA acknowledges that while there are instances of veterans misusing benefits programs, the extent of fraud is relatively small in relation to the agency's overall activities. “Veterans earn their VA benefits through honorable service in uniform, and an overwhelming majority bring that same sense of honor and duty when it comes to seeking their benefits,” stated House Veterans Affairs Committee Chairman Mike Bost (R-Ill.).

Recent scrutiny has emerged after an investigation by a prominent publication indicated that specific disability claims may be dubious, referencing conditions like “hair loss,” “jock itch,” and “toenail fungus.” The report highlighted a discrepancy between those assertions and the lower figures of veterans experiencing serious or life-changing injuries.

The VA firmly dismissed the report, labeling it as misleading. “America’s veterans have rightfully earned their VA benefits, and the process to obtain them should be streamlined, not complicated,” stated VA spokesperson Pete Kasperowicz in an interview with *Military.com.* He stated that the *Post* article depended on specific instances to suggest a broader misconduct issue. “When the VA detects indications of fraud or questionable activities, it collaborates with the relevant law enforcement agencies to safeguard taxpayers, veterans, families, caregivers, and survivors,” he stated.

The Veterans of Foreign Wars (VFW) disapproved of the Post report, labeling it “a dangerously misleading piece that perpetuates harmful stereotypes.”

Concerns regarding fraud, waste, and abuse have persisted for the VA and Congress. As of April 2022, over 160,000 veterans aged 65 and older who receive pension benefits were identified as particularly susceptible to financial crimes, based on agency data.

The VA Office of Inspector General (OIG) has ramped up its initiatives to combat unaccredited individuals who take advantage of veterans for financial gain. The OIG’s initiative, known as “Operation NO SCAM,” focuses on individuals who impose unlawful fees or exploit veterans’ personal information to gain access to benefits.

Authorities caution that the changing landscape of digital dangers exacerbates the issue. Jordan Burris, who previously served as a technology official at the White House and is now an executive at the identity verification company Socure, stated that fraud frequently arises from inadequate identity controls instead of misconduct by veterans. “The focus is not solely on the details of the assertion,” Burris stated. “It’s also about the authenticity of the identity being claimed for that veteran throughout their entire life journey.”

Burris called on the government to update its "identity rails," strengthen authentication systems, and release risk metrics to enhance accountability. “A review of the past two years reveals that the safeguards in place have been insufficient and have failed to secure veterans’ information adequately,” he stated.

As inquiries progress, Congress and the VA highlight that instances of fraud constitute a minor portion of the total claims. Legislators are committed to enhancing scrutiny while ensuring deserving veterans obtain the care and benefits they have rightfully earned.

‍