We’ve highlighted workers compensation fraud and how it hurts us all before. The following are two examples of fraud uncovered.
RELATED: When Workers Comp Discounts Are Available
Workers Comp Fraud in TX
Gary Hunt worked as a sales coach for a plumbing company in Austin Texas. Recently, Hunt submitted a claim about how a work related injury rendered an inability to perform his job duties.
Though Hunt was no longer working for the plumbing company, he secured a job as a consultant for a HVAC company, enjoying illicit double dips by collecting workers comp benefits along with a salary for employment elsewhere.
The court handed over a Class A misdemeanor conviction, while sentencing Gary Hunt to a 1-year deferred adjudication. In addition, Hunt was ordered to recompense the insurance company for $8,192.
Workers Comp Fraud in CA
Enrique Vera and his sister Gloria Vera operate a construction firm in California.
The pair have been accused of fraud involving a six million dollar insurance scam.
The fraud charges consists of altering payroll statements so that they could pay less of a premium for workers comp, making false statements so as to dissuade injured employees from filing workers comp claims, and failure to report job-related injuries – all of which amounts to a minimum of $6 million losses to the state workers comp program.
Additionally, the pair have been charged with paying less than required to workers by law.
Erique is accused of 4 felony counts of workers comp fraud and 3 felony counts of grand theft of labor while facing a maximum of fifteen years in jail. Gloria is accused of 5 felony counts of workers comp fraud and 3 felony counts each of insurance fraud, while facing a maximum of nineteen years behind bars.
Sentencing is pending.
For questions about Workers Compensation, contact the professionals at Prime Insurance.
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Summary: Prime Insurance spotlights two major cases where workers comp fraud was discovered.
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