14 People Have Been Arrested For Fraudulently Receiving Workmen’s Compensation Payments

New York State Insurance Department Gregory V. Serio joined by Suffolk County District Attorney Thomas Spota and officials from the State Insurance Fund and the New York State Inspector’s General’s office, today announced 14 people have been arrested for fraudulently receiving Workmen’s Compensation payments. Many of those arrested have been observed by law enforcement to be working other jobs while claiming to have medial conditions that entitle them to state Workmen’s Compensation checks. More arrests are expected later today and tomorrow.

"These arrests prove that by pooling resources we are able to take quick and aggressive action against this kind of fraud," said Serio. "Leveraging the efforts and expertise of the Department’s Frauds Bureau, District Attorney Spota’s office, the State Workers Compensation Fraud Inspector General and the State Insurance Fund enables us to more effectively nab criminals who take money out of the system that was created to care for honest individuals who are legitimately injured on the job."

As is usually the case in fraud, District Attorney Spota observed, "we all pay for the few who try to cheat the system."

"Those arrested have defrauded taxpayer of over a quarter-million dollars and we haven’t finished the initial round of arrests, " D.A. Spota said. "Those charged with fraud in this investigation cheat honest workers with real injuries out of the benefits to which they are entitled. Employers are burdened too with more expensive worker’s insurance rates."

Kenneth Ross, the CEO of the NY State Insurance Fund, describe this weeks’ enforcement action as" a continuing effort by DA Spota and the State Insurance Fund to actively prosecute fraud by claimants, medical providers or businesses."

Also on hand in Hauppauge for the announcement was State Workmen’s Compensation Board Fraud Inspector General John H. Burgher. "People who are contemplating fraud in Suffolk County or anywhere in the state should take ahard lookat this week’s arrests and think again. I applaud District Attorney Spota and all the agencies involved for their cooperation in conducting this sweep," Mr. Burgher said