KRS 205.211: Secretary to correct any underpayment or overpayment of public

assistance benefits.

(1) Except as otherwise provided by law, the secretary may, in accordance with the

regulations he may prescribe and to the extent permitted by federal law, take all

necessary steps to correct any underpayment or overpayment of public assistance

benefits under this chapter.

(2) Recovery of overpayments by the secretary may be accomplished through

repayment, reduction of future public assistance benefits, or by civil acti on in the

Circuit or District Court depending upon the jurisdictional amount involved.

(3) No reduction in future benefits or civil action shall be instituted except after notice

and an opportunity for a fair hearing have been given and the administrative and

judicial remedies provided by this chapter have been either exhausted or abandoned.

(4) For purposes of this section, overpayment shall include payments made to or in

behalf of an eligible person in excess of the amount of public assistance benefits to

which they are entitled as defined by regulation, payments made to ineligible

persons and payments made to persons pending a fair hearing decision or court

decision.

(5) Nothing in this section shall be construed to prohibit criminal prosecution for fraud

under any other statute.