44-719.Penalties for violation of act; repayment ofbenefits ineligibly received, interest thereon; criminal prosecution.(a) Any person who makes a false statement or representation knowing itto be false or knowingly fails to disclose a material fact, to obtain orincrease any benefit or other payment under this act, either for suchperson or for any other person, shall be guilty of theft and shallbe punished in accordance with the provisions of K.S.A. 21-3701and amendments thereto.
(b) Any employing unit or any officer or agent for any employingunit or any other person who makes a false statement or representationknowing it to be false, or who knowingly fails to disclose a materialfact, to prevent or reduce the payment of benefits to any individualentitled thereto, or to avoid becoming or remaining subject hereto or toavoid or reduce any contribution or other payment required from anemploying unit under this act, or who willfully fails or refuses to makeany such contributions or other payment or to furnish any reportsrequired hereunder or to produce or permit the inspection or copying ofrecords as required hereunder, shall be punished by a fine of not lessthan $20 nor more than $200, or by imprisonment for not longer than 60days, or both such fine and imprisonment. Each such false statement orrepresentation or failure to disclose a material fact and each day of suchfailure or refusal shall constitute a separate offense.
(c) Any person who willfully violates any provision of this act or anyrule and regulation adopted by the secretary hereunder, the violation ofwhich is made unlawful or the observance of which is required under theterms of this act, and for which a penalty is neither prescribed herein orprovided by any other applicable statute, shall be punished by a fine ofnot less than $20 nor more than $200, or by imprisonment for not longerthan 60 days, or by both such fine and imprisonment, and each day suchviolation continues shall be deemed to be a separate offense.
(d) (1) Any person who has received any amount of money as benefitsunder this act while any conditions for the receipt of benefits imposedby this act were not fulfilled in such person's case, or while such personwas disqualified from receiving benefits, shall in the discretion of thesecretary, either be liable to have such amount of money deducted from anyfuture benefits payable to such person under this act or shall be liable torepay to the secretary for the employment security fund an amount of moneyequal to the amount so received by such person. After a period of fiveyears, the secretary may waive the collection of any such amount of moneywhen the secretary has determined that the payment of such amount of moneywas not due to fraud, misrepresentation, or willful nondisclosure on thepart of the person receiving such amount of money, and the collectionthereof would be against equity or would cause extreme hardship with regardto such person. The collection of benefit overpayments which were made inthe absence of fraud, misrepresentation or willful nondisclosure ofrequired information on the part of the person who received suchoverpayments, may be waived by the secretary at any time if such person metall eligibility requirements of the employment security law during theweeks in which the overpayments were made.
(2) Any benefit erroneously paid which is not repaid shall bear interestat the rate of 1.5% per month or fraction of a month. If the benefit wasreceived as a result of fraud, misrepresentation or willful nondisclosure ofrequired information, interest shall accrue from the date of the finaldetermination of overpayment until repayment plus interest is received by thesecretary. If the overpayment was without fraud, misrepresentation or willfulnondisclosure of required information, interest shall accrue upon any balancewhich remains unpaid two years after the final determination of overpayment ismade and shall continue until payment plus accrued interest is received by thesecretary. Interest collected pursuant to this section shall be paid into thespecial employment security fund, except thatinterest collected on federal administrative programs shall be returned to thefederal government. Upon written request and for good causeshown, the secretary may abate any interest or portion thereof provided for bythis subsection (d)(2). Interest accrued may not be paid by money deducted fromany future benefits payable to such persons liable for any overpayment.
(3) Unless collection is waived bythe secretary, any such amount shall be collectible in themanner provided in subsection (b) of K.S.A. 44-717 andamendments thereto for the collection of past due contributions. Thecourts of this state shall in like manner entertain actions to collectamounts of money erroneously paid as benefits, or unlawfully obtained,for which liability has accrued under the employment security law of anyother state or of the federal government.
(e) Any employer or person who willfully fails or refuses to paycontributions,payments in lieu of contributions or benefit cost payments or attempts inany manner to evade or defeat any such contributions, payments in lieu ofcontributions or benefit cost payments or the payment thereof, shall beliable for the payment of such contributions, payments in lieu of contributionsor benefit cost payments and, in addition to any other penalties providedby law, shall be liable to pay a penalty equal to the total amount of thecontributions, payments in lieu of contributions or benefit cost paymentsevaded or not paid.
(f) (1) It shall be unlawful for an employing unit to knowingly obtainor attempt to obtain a reduced liability for contributions undersubsection (b)(1) of K.S.A. 44-710a and amendments theretothrough manipulation of the employer's workforce, or for anemploying unit that is not an employing unit at the time itacquires the trade or business, to knowingly obtain or attempt toobtain a reduced liability for contributions under subsection(b)(5) of K.S.A. 44-710a and amendments thereto, or any otherprovision of K.S.A. 44-710a and amendments thereto related to determining theassignment of a contribution rate, when the sole or primary purpose of thebusiness acquisition was for the purpose of obtaining a lowerrate of contributions, or for a person to knowingly advise anemploying unit in such a way that results in such a violation, such employingunit or person shall be subject to the following penalties:
(A) If the person is an employer, then suchemployer shall be assigned the highest rateassignable under K.S.A. 44-710a, and amendments thereto, for the rate yearduring which such violation or attempted violationoccurred and the three rate years immediatelyfollowing this rate year. However, if theemployer's business is already at such highest ratefor any year, or if the amount of increase in theemployer's rate would be less than 2% forsuch year, then a penalty rate of contributions of 2% of taxable wages shall beimposed for suchyear. Any moneys resulting from thedifference of the computed rate and the penaltyrate shall be remitted to the state treasurer in accordance with the provisionsof K.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(B) If the person is not an employer, suchperson shall be subject to a civil money penalty ofnot more than $5,000. All fines assessed and collected under this sectionshall be remitted to the state treasurer in accordance with the provisions ofK.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(2) For purposes of this subsection, theterm "knowingly" means having actual knowledgeof or acting with deliberate ignorance or recklessdisregard for the prohibition involved.
(3) For purposes of this subsection, theterm "violates or attempts to violate" includes, butis not limited to, any intent to evade, misrepresentationor willful nondisclosure.
(4) (A) In addition to, or in lieu of, any civilpenalty imposed by paragraph (1) if, the directorof employment security or a special assistantattorney general assigned to the department oflabor, has probable cause to believe that aviolation of this subsection (f)should be prosecuted as a crime, a copy of any order, all investigativereports and any evidence inthe possession of the division of employmentsecurity which relates to such violation, may beforwarded to the prosecuting attorney in thecounty in which the act or any of the acts wereperformed which constitute a violation of thissubsection (f). Any case which a county or district attorney fails toprosecute within 90 daysshall be returned promptly to the director ofemployment security. The special assistantattorney general assigned to the Kansasdepartment of labor shall then prosecute the case,if, in the opinion of the special assistant attorneygeneral, the acts or practices involved still warrantprosecution.
(B) Violation of this subsection (f) shall be alevel 9, nonperson felony.
(5) The secretary shall establishprocedures to identify the transfer or acquisitionof a business for purposes of this section.
(6) For purposes of subsection (f):
(A) "Person" has the meaning given suchterm by section 7701(a)(1) of the internal revenuecode of 1986;
(B) "trade or business" shall include theemployer's workforce; and
(C) the provisions of K.S.A. 21-3206 andK.S.A. 21-3207, and amendments thereto, shall apply.
(7) This subsection (f) shall be interpreted and applied in such a manner asto meet the minimum requirements contained in any guidance or regulation issuedby the United States department of labor.
44-719.Penalties for violation of act; repayment ofbenefits ineligibly received, interest thereon; criminal prosecution.(a) Any person who makes a false statement or representation knowing itto be false or knowingly fails to disclose a material fact, to obtain orincrease any benefit or other payment under this act, either for suchperson or for any other person, shall be guilty of theft and shallbe punished in accordance with the provisions of K.S.A. 21-3701and amendments thereto.
(b) Any employing unit or any officer or agent for any employingunit or any other person who makes a false statement or representationknowing it to be false, or who knowingly fails to disclose a materialfact, to prevent or reduce the payment of benefits to any individualentitled thereto, or to avoid becoming or remaining subject hereto or toavoid or reduce any contribution or other payment required from anemploying unit under this act, or who willfully fails or refuses to makeany such contributions or other payment or to furnish any reportsrequired hereunder or to produce or permit the inspection or copying ofrecords as required hereunder, shall be punished by a fine of not lessthan $20 nor more than $200, or by imprisonment for not longer than 60days, or both such fine and imprisonment. Each such false statement orrepresentation or failure to disclose a material fact and each day of suchfailure or refusal shall constitute a separate offense.
(c) Any person who willfully violates any provision of this act or anyrule and regulation adopted by the secretary hereunder, the violation ofwhich is made unlawful or the observance of which is required under theterms of this act, and for which a penalty is neither prescribed herein orprovided by any other applicable statute, shall be punished by a fine ofnot less than $20 nor more than $200, or by imprisonment for not longerthan 60 days, or by both such fine and imprisonment, and each day suchviolation continues shall be deemed to be a separate offense.
(d) (1) Any person who has received any amount of money as benefitsunder this act while any conditions for the receipt of benefits imposedby this act were not fulfilled in such person's case, or while such personwas disqualified from receiving benefits, shall in the discretion of thesecretary, either be liable to have such amount of money deducted from anyfuture benefits payable to such person under this act or shall be liable torepay to the secretary for the employment security fund an amount of moneyequal to the amount so received by such person. After a period of fiveyears, the secretary may waive the collection of any such amount of moneywhen the secretary has determined that the payment of such amount of moneywas not due to fraud, misrepresentation, or willful nondisclosure on thepart of the person receiving such amount of money, and the collectionthereof would be against equity or would cause extreme hardship with regardto such person. The collection of benefit overpayments which were made inthe absence of fraud, misrepresentation or willful nondisclosure ofrequired information on the part of the person who received suchoverpayments, may be waived by the secretary at any time if such person metall eligibility requirements of the employment security law during theweeks in which the overpayments were made.
(2) Any benefit erroneously paid which is not repaid shall bear interestat the rate of 1.5% per month or fraction of a month. If the benefit wasreceived as a result of fraud, misrepresentation or willful nondisclosure ofrequired information, interest shall accrue from the date of the finaldetermination of overpayment until repayment plus interest is received by thesecretary. If the overpayment was without fraud, misrepresentation or willfulnondisclosure of required information, interest shall accrue upon any balancewhich remains unpaid two years after the final determination of overpayment ismade and shall continue until payment plus accrued interest is received by thesecretary. Interest collected pursuant to this section shall be paid into thespecial employment security fund, except thatinterest collected on federal administrative programs shall be returned to thefederal government. Upon written request and for good causeshown, the secretary may abate any interest or portion thereof provided for bythis subsection (d)(2). Interest accrued may not be paid by money deducted fromany future benefits payable to such persons liable for any overpayment.
(3) Unless collection is waived bythe secretary, any such amount shall be collectible in themanner provided in subsection (b) of K.S.A. 44-717 andamendments thereto for the collection of past due contributions. Thecourts of this state shall in like manner entertain actions to collectamounts of money erroneously paid as benefits, or unlawfully obtained,for which liability has accrued under the employment security law of anyother state or of the federal government.
(e) Any employer or person who willfully fails or refuses to paycontributions,payments in lieu of contributions or benefit cost payments or attempts inany manner to evade or defeat any such contributions, payments in lieu ofcontributions or benefit cost payments or the payment thereof, shall beliable for the payment of such contributions, payments in lieu of contributionsor benefit cost payments and, in addition to any other penalties providedby law, shall be liable to pay a penalty equal to the total amount of thecontributions, payments in lieu of contributions or benefit cost paymentsevaded or not paid.
(f) (1) It shall be unlawful for an employing unit to knowingly obtainor attempt to obtain a reduced liability for contributions undersubsection (b)(1) of K.S.A. 44-710a and amendments theretothrough manipulation of the employer's workforce, or for anemploying unit that is not an employing unit at the time itacquires the trade or business, to knowingly obtain or attempt toobtain a reduced liability for contributions under subsection(b)(5) of K.S.A. 44-710a and amendments thereto, or any otherprovision of K.S.A. 44-710a and amendments thereto related to determining theassignment of a contribution rate, when the sole or primary purpose of thebusiness acquisition was for the purpose of obtaining a lowerrate of contributions, or for a person to knowingly advise anemploying unit in such a way that results in such a violation, such employingunit or person shall be subject to the following penalties:
(A) If the person is an employer, then suchemployer shall be assigned the highest rateassignable under K.S.A. 44-710a, and amendments thereto, for the rate yearduring which such violation or attempted violationoccurred and the three rate years immediatelyfollowing this rate year. However, if theemployer's business is already at such highest ratefor any year, or if the amount of increase in theemployer's rate would be less than 2% forsuch year, then a penalty rate of contributions of 2% of taxable wages shall beimposed for suchyear. Any moneys resulting from thedifference of the computed rate and the penaltyrate shall be remitted to the state treasurer in accordance with the provisionsof K.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(B) If the person is not an employer, suchperson shall be subject to a civil money penalty ofnot more than $5,000. All fines assessed and collected under this sectionshall be remitted to the state treasurer in accordance with the provisions ofK.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(2) For purposes of this subsection, theterm "knowingly" means having actual knowledgeof or acting with deliberate ignorance or recklessdisregard for the prohibition involved.
(3) For purposes of this subsection, theterm "violates or attempts to violate" includes, butis not limited to, any intent to evade, misrepresentationor willful nondisclosure.
(4) (A) In addition to, or in lieu of, any civilpenalty imposed by paragraph (1) if, the directorof employment security or a special assistantattorney general assigned to the department oflabor, has probable cause to believe that aviolation of this subsection (f)should be prosecuted as a crime, a copy of any order, all investigativereports and any evidence inthe possession of the division of employmentsecurity which relates to such violation, may beforwarded to the prosecuting attorney in thecounty in which the act or any of the acts wereperformed which constitute a violation of thissubsection (f). Any case which a county or district attorney fails toprosecute within 90 daysshall be returned promptly to the director ofemployment security. The special assistantattorney general assigned to the Kansasdepartment of labor shall then prosecute the case,if, in the opinion of the special assistant attorneygeneral, the acts or practices involved still warrantprosecution.
(B) Violation of this subsection (f) shall be alevel 9, nonperson felony.
(5) The secretary shall establishprocedures to identify the transfer or acquisitionof a business for purposes of this section.
(6) For purposes of subsection (f):
(A) "Person" has the meaning given suchterm by section 7701(a)(1) of the internal revenuecode of 1986;
(B) "trade or business" shall include theemployer's workforce; and
(C) the provisions of K.S.A. 21-3206 andK.S.A. 21-3207, and amendments thereto, shall apply.
(7) This subsection (f) shall be interpreted and applied in such a manner asto meet the minimum requirements contained in any guidance or regulation issuedby the United States department of labor.
44-719.Penalties for violation of act; repayment ofbenefits ineligibly received, interest thereon; criminal prosecution.(a) Any person who makes a false statement or representation knowing itto be false or knowingly fails to disclose a material fact, to obtain orincrease any benefit or other payment under this act, either for suchperson or for any other person, shall be guilty of theft and shallbe punished in accordance with the provisions of K.S.A. 21-3701and amendments thereto.
(b) Any employing unit or any officer or agent for any employingunit or any other person who makes a false statement or representationknowing it to be false, or who knowingly fails to disclose a materialfact, to prevent or reduce the payment of benefits to any individualentitled thereto, or to avoid becoming or remaining subject hereto or toavoid or reduce any contribution or other payment required from anemploying unit under this act, or who willfully fails or refuses to makeany such contributions or other payment or to furnish any reportsrequired hereunder or to produce or permit the inspection or copying ofrecords as required hereunder, shall be punished by a fine of not lessthan $20 nor more than $200, or by imprisonment for not longer than 60days, or both such fine and imprisonment. Each such false statement orrepresentation or failure to disclose a material fact and each day of suchfailure or refusal shall constitute a separate offense.
(c) Any person who willfully violates any provision of this act or anyrule and regulation adopted by the secretary hereunder, the violation ofwhich is made unlawful or the observance of which is required under theterms of this act, and for which a penalty is neither prescribed herein orprovided by any other applicable statute, shall be punished by a fine ofnot less than $20 nor more than $200, or by imprisonment for not longerthan 60 days, or by both such fine and imprisonment, and each day suchviolation continues shall be deemed to be a separate offense.
(d) (1) Any person who has received any amount of money as benefitsunder this act while any conditions for the receipt of benefits imposedby this act were not fulfilled in such person's case, or while such personwas disqualified from receiving benefits, shall in the discretion of thesecretary, either be liable to have such amount of money deducted from anyfuture benefits payable to such person under this act or shall be liable torepay to the secretary for the employment security fund an amount of moneyequal to the amount so received by such person. After a period of fiveyears, the secretary may waive the collection of any such amount of moneywhen the secretary has determined that the payment of such amount of moneywas not due to fraud, misrepresentation, or willful nondisclosure on thepart of the person receiving such amount of money, and the collectionthereof would be against equity or would cause extreme hardship with regardto such person. The collection of benefit overpayments which were made inthe absence of fraud, misrepresentation or willful nondisclosure ofrequired information on the part of the person who received suchoverpayments, may be waived by the secretary at any time if such person metall eligibility requirements of the employment security law during theweeks in which the overpayments were made.
(2) Any benefit erroneously paid which is not repaid shall bear interestat the rate of 1.5% per month or fraction of a month. If the benefit wasreceived as a result of fraud, misrepresentation or willful nondisclosure ofrequired information, interest shall accrue from the date of the finaldetermination of overpayment until repayment plus interest is received by thesecretary. If the overpayment was without fraud, misrepresentation or willfulnondisclosure of required information, interest shall accrue upon any balancewhich remains unpaid two years after the final determination of overpayment ismade and shall continue until payment plus accrued interest is received by thesecretary. Interest collected pursuant to this section shall be paid into thespecial employment security fund, except thatinterest collected on federal administrative programs shall be returned to thefederal government. Upon written request and for good causeshown, the secretary may abate any interest or portion thereof provided for bythis subsection (d)(2). Interest accrued may not be paid by money deducted fromany future benefits payable to such persons liable for any overpayment.
(3) Unless collection is waived bythe secretary, any such amount shall be collectible in themanner provided in subsection (b) of K.S.A. 44-717 andamendments thereto for the collection of past due contributions. Thecourts of this state shall in like manner entertain actions to collectamounts of money erroneously paid as benefits, or unlawfully obtained,for which liability has accrued under the employment security law of anyother state or of the federal government.
(e) Any employer or person who willfully fails or refuses to paycontributions,payments in lieu of contributions or benefit cost payments or attempts inany manner to evade or defeat any such contributions, payments in lieu ofcontributions or benefit cost payments or the payment thereof, shall beliable for the payment of such contributions, payments in lieu of contributionsor benefit cost payments and, in addition to any other penalties providedby law, shall be liable to pay a penalty equal to the total amount of thecontributions, payments in lieu of contributions or benefit cost paymentsevaded or not paid.
(f) (1) It shall be unlawful for an employing unit to knowingly obtainor attempt to obtain a reduced liability for contributions undersubsection (b)(1) of K.S.A. 44-710a and amendments theretothrough manipulation of the employer's workforce, or for anemploying unit that is not an employing unit at the time itacquires the trade or business, to knowingly obtain or attempt toobtain a reduced liability for contributions under subsection(b)(5) of K.S.A. 44-710a and amendments thereto, or any otherprovision of K.S.A. 44-710a and amendments thereto related to determining theassignment of a contribution rate, when the sole or primary purpose of thebusiness acquisition was for the purpose of obtaining a lowerrate of contributions, or for a person to knowingly advise anemploying unit in such a way that results in such a violation, such employingunit or person shall be subject to the following penalties:
(A) If the person is an employer, then suchemployer shall be assigned the highest rateassignable under K.S.A. 44-710a, and amendments thereto, for the rate yearduring which such violation or attempted violationoccurred and the three rate years immediatelyfollowing this rate year. However, if theemployer's business is already at such highest ratefor any year, or if the amount of increase in theemployer's rate would be less than 2% forsuch year, then a penalty rate of contributions of 2% of taxable wages shall beimposed for suchyear. Any moneys resulting from thedifference of the computed rate and the penaltyrate shall be remitted to the state treasurer in accordance with the provisionsof K.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(B) If the person is not an employer, suchperson shall be subject to a civil money penalty ofnot more than $5,000. All fines assessed and collected under this sectionshall be remitted to the state treasurer in accordance with the provisions ofK.S.A. 75-4215 and amendments thereto. Upon receipt of each such remittance,the state treasurer shall deposit the entire amount in the state treasury tothe credit of the special employment security fund.
(2) For purposes of this subsection, theterm "knowingly" means having actual knowledgeof or acting with deliberate ignorance or recklessdisregard for the prohibition involved.
(3) For purposes of this subsection, theterm "violates or attempts to violate" includes, butis not limited to, any intent to evade, misrepresentationor willful nondisclosure.
(4) (A) In addition to, or in lieu of, any civilpenalty imposed by paragraph (1) if, the directorof employment security or a special assistantattorney general assigned to the department oflabor, has probable cause to believe that aviolation of this subsection (f)should be prosecuted as a crime, a copy of any order, all investigativereports and any evidence inthe possession of the division of employmentsecurity which relates to such violation, may beforwarded to the prosecuting attorney in thecounty in which the act or any of the acts wereperformed which constitute a violation of thissubsection (f). Any case which a county or district attorney fails toprosecute within 90 daysshall be returned promptly to the director ofemployment security. The special assistantattorney general assigned to the Kansasdepartment of labor shall then prosecute the case,if, in the opinion of the special assistant attorneygeneral, the acts or practices involved still warrantprosecution.
(B) Violation of this subsection (f) shall be alevel 9, nonperson felony.
(5) The secretary shall establishprocedures to identify the transfer or acquisitionof a business for purposes of this section.
(6) For purposes of subsection (f):
(A) "Person" has the meaning given suchterm by section 7701(a)(1) of the internal revenuecode of 1986;
(B) "trade or business" shall include theemployer's workforce; and
(C) the provisions of K.S.A. 21-3206 andK.S.A. 21-3207, and amendments thereto, shall apply.
(7) This subsection (f) shall be interpreted and applied in such a manner asto meet the minimum requirements contained in any guidance or regulation issuedby the United States department of labor.
