Hundreds fired from Target facility over alleged health care loan fraud

CHICAGO (WGN) A significant number of workers at a Target distribution center on the Southwest Side near Chicago have been dismissed for allegedly embezzling funds via healthcare loans.

At the Target Flow Center situated at 3501 S. Pulaski Rd. in Chicago’s Little Village neighborhood, news spread quickly about a fraudulent scheme executed by some employees.

According to Block Club Chicago, the workers exploited a defect in Target’s healthcare loan system. This glitch enabled them to obtain loans of $3,000, with only $50 needed to clear the entire debt.

Employees shared with Block Club’s Charles Thrush that one employee, purportedly the mastermind, found the glitch and guided colleagues in executing the fraud.

The supposed leader reportedly charged between $200 to $300 from each participant, involving hundreds of staff members, based on Thrush’s investigation.

“You’re seeing anywhere from 400 to 700 firings from Target,” Thrush said.

The company isn’t confirming how many people were involved but says in a statement:

“Following an internal investigation, we have terminated team members found to be in violation of our company’s code of ethics.”

It remains uncertain if criminal charges will be pressed against those involved. Block Club Chicago notes the scheme could have cost the company almost $1 million.

Current employees say they were shocked to learn of the scheme. Target is now working to fill all the positions at a noticeable pace.

“I know they’re hiring extremely mad right now. Every Tuesday and Friday you see new classes and new faces like every single day,” Matthew Clarke said. “They’re definitely paying enough to where you shouldn’t even have to worry about trying to steal.”

Target says it’s put measures in place to make sure this type of scheme doesn’t happen again. The firings will not impact business operations.

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