This is how Berlin's Senator for Labor reacts to the citizen's allowance fraud: Many recipients are themselves victims

The debate surrounding social security fraud in connection with the citizen's income scheme isn't abating. Following alarming reports from cities like Duisburg and Gelsenkirchen, Berlin is increasingly coming into focus. There, the responsible Senator for Labor, Social Affairs and Integration, Cansel Kiziltepe (SPD), is now pursuing a two-pronged approach: Investigation, yes—but without blanket condemnations.

"We take the indications of criminal structures in the collection of citizen's allowance very seriously," Kiziltepe said in response to an inquiry from the Berliner Zeitung. Federal Labor Minister Bärbel Bas (SPD) had previously spoken of "mafia-like structures." Kiziltepe primarily draws a connection between social benefit fraud and labor exploitation. "We are also investigating this connection for the state of Berlin," the senator added. "My administration does not yet have any conclusive findings. And we will examine them thoroughly." The question also concerns what controls have been carried out in recent years.

Berlin Job Center spokesperson Jens Krüger confirmed to the Berliner Zeitung on Wednesday when asked: "Yes, we are also aware of the problems." The authorities are increasingly encountering networks that deliberately push people from EU countries into dependent relationships – and simultaneously exploit the social security system. There is talk of bogus rentals, fictitious employment contracts, and falsified social security registrations. The system is highly professional and difficult to penetrate. The masterminds are almost impossible to grasp – the applicants themselves are often trapped in these structures, Krüger said.

Particularly perfidious: The supposed employers often act simultaneously as landlords, interpreters, and contact persons. A "complete package" that outwardly simulates legal conditions – yet is based on deception. Krüger admitted that these patterns are well known, but the structures are difficult to understand without massive effort.

SPD politician Kiziltepe: “I condemn the generalizations”

Social Affairs Senator Kiziltepe now highlights a key point: Many of the people who apply for citizen's allowance are themselves victims – not perpetrators. We must not allow entire groups to fall under general suspicion. "I strongly condemn the generalizations about people from Southern and Eastern Europe," emphasizes the SPD politician. The goal is, on the one hand, to uncover fraudulent structures and, on the other, to protect those affected. Her main concern, the senator says, is to end labor exploitation. People need fair wages, regular jobs, and protection – not stigmatization.

According to the Federal Ministry of Labor , 123,379 suspected cases of benefit fraud were investigated nationwide in 2024. Initial suspicions were confirmed in over 100,000 cases, and more than 44,000 cases were referred to public prosecutors. However, it remains unclear how many of these cases can actually be traced back to organized crime. There are no separate statistics for "mafia-like structures."

Citizens' income fraud: data exchange often incomplete

"The job centers are following up on every tip," the ministry said. However, structural weaknesses remain: Data exchange between job centers, tax offices, social security and security authorities is still often patchy. However, the new coalition agreement between the Christian Democratic Union (CDU) and the Social Democratic Party (SPD) federal government provides for "complete and automated data exchange."

Nevertheless, Kiziltepe warned the Berliner Zeitung against narrowing the debate down to fraud. Many people from Romania and Bulgaria, in particular, work under difficult conditions in Germany – in nursing, construction, or the catering industry. "These people make an indispensable contribution, especially in sectors where labor is scarce," the senator said. According to the Federal Ministry of Labor, around 685,000 Romanian and Bulgarian nationals were employed in Germany subject to social insurance contributions in February 2025.