What happens if someone tries to cheat or lie on their worker’s compensation claim?
When claimants take advantage of the workers’ compensation system, it becomes more difficult for valid claimants to benefit from a system set up to help those who are truly injured and in need of financial assistance.
Under Pennsylvania law, workers’ compensation fraud is a crime. In addition, this sort of misconduct is also punishable under federal fraud laws – as is the case in a recent indictment entered against a Chambersburg-area man accused of bilking funds from the Federal Employees Compensation Act (FECA) program, which assists federal workers injured on the job.
According to media reports, the defendant was charged with five separate counts of workers’ compensation fraud. The counts in total amounted to over $143,000 in payouts over the years, which is money that could have been used by claimants with legitimate workplace injury claims.
Allegedly, the defendant applied for benefits in 2011 after suffering an injury while working with the Army Corps of Engineers. He continued to apply for, and receive, benefits for several years thereafter based on his assertion he was too injured to return to his job. However, as an investigation ultimately revealed, the claimant was working the entire time for a catering company known as “CM Pig Out,” and collecting benefits on top of his regular wages.
The case was investigated by the U.S. Department of Labor’s Office of Inspector General’s Office of Labor Racketeering and Fraud Investigations, which is responsible for mitigating this type of issue.
Under Pennsylvania law, anyone with suspicions of workers’ compensation fraud is encouraged to report the information directly to the Office of Attorney General. Workers’ compensation fraud can occur on the part of the claimant or employer, with cases against the latter often involving misclassification of employees to avoid having to make payouts.
If you are experiencing difficulty with your workers’ compensation claim and would like to speak to a reputable attorney, please do not hesitate to contact Louis P. Lombardi, II & Associates today: 610.239.7600 or 888.818.4343.