A lawyer who sued the government for more than $20 million in bankruptcy court claims that she is receiving $25,000 a week in unemployment benefits from the government.
In the lawsuit filed Tuesday in U.S. District Court for the District of Columbia, Mary Jo Kocher is seeking to overturn a ruling that determined she owed more than a million dollars in unemployment compensation.
She said the government “knew she was bankrupt, and in effect paid her for her debts” and that she has “suffered substantial economic and psychological harm.”
Kocher filed the lawsuit in July, and it is the latest in a series of cases filed by bankrupt lawyers seeking relief.
In April, the Department of Labor issued a new rule barring attorneys who were in bankruptcy from receiving unemployment compensation payments for up to 10 years.
The rule was expected to help lower bankruptcy costs.
Kochers lawsuit says that her unemployment compensation has been suspended pending a review by the Department.
She said she had to leave her home and work as a waitress to get the money and said she is being paid by Social Security.
Kochehers lawsuit also alleges that she and her husband have been denied access to their children and are unable to have children together.
The lawsuit also claims that Kochers is receiving Social Security Disability Insurance benefits for her husband and two daughters.
The couple has a total of five children and two grandchildren.