The state retirement board has paid out more than $687,000 to deceased pensioners.
That's according to a report released Wednesday by state Auditor Suzanne Bump.
The audit also found that the agency underpaid pensioners whose designated beneficiaries had died by more than $271,000.
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Bump says the Massachusetts State Retirement Board made payments to 105 deceased pensioners during the two-year audit period. The individuals had been dead for a median of 103 days and received an average overpayment of more than $4,500.
Bump attributes the problem to a failure to follow new requirements to gain access to the Social Security Administration's Death Master File.
She says the retirement board has corrected the problem, recovered nearly $609,000 of the payments made in error and restored the underpaid benefits.