Workers' Comp Fraud Blotter (8/8/2013) – Purchasing Insurance After Indictment Could Not Repair the Damage At This Auto Repair Shop

Workers' Comp Fraud Blotter (8/8/2013) – Purchasing Insurance After Indictment Could Not Repair the Damage At This Auto Repair Shop

Workers' Comp Fraud Blotter – August 8, 2013

Purchasing Insurance After Indictment Could Not Repair the Damage At This Auto Repair Shop (IL) – Ahmed Ghosien, d/b/a Ghosien European Auto Werks, has pled guilty to felony failure to secure workers’ compensation insurance after administrative attempts to bring him into compliance with the law were unsuccessful. In March, 2010 Ghosien was served with a notice of non-compliance because he had never acquired workers’ compensation insurance for his large European auto repair shop. He then purchased insurance and agreed to pay a $25,000 fine. His insurance was later canceled in December 2011 because he failed to pay the premiums, and he also failed to pay his fine. Ghosien finally secured a new workers’ compensation policy in February, 2013, but only after he learned of his criminal indictment.   Read more

Superstorm Sandy Task Force Arrests Uninsured Contractor (NJ) – Shane Wood has been charged with providing a fraudulent insurance certificate and working as an unregistered contractor after state authorities revoked his registration. An investigation by the Superstorm Sandy Fraud Task Force revealed that Wood, as the owner of Reliable Roofing and Siding, sub-contracted with a general contractor to perform roof repair work on a property. The general contractor required Wood to provide a Certificate of Liability Insurance reflecting that Wood’s company was covered for New Jersey Workers’ Compensation Insurance. Wood transmitted a document that stated that Reliable Roofing and Siding was covered by the John Hill Insurance Company, but it was discovered that Wood had actually supplied a fraudulent document.   Read more

Mansion Owner With Illegal Maid Faces Large Fine For Failing To Carry Workers’ Comp Insurance (NY) – Annie George, the widow of deceased hotelier Mathai Kolath George and the owner of the palatial Llenroc mansion, has been fined $132,000 by the New York Workers’ Compensation Board for failing to carry workers’ compensation insurance. Earlier this year, George was found guilty in federal court of harboring an illegal immigrant, her housekeeper, who claimed that she had not been paid for her work at the mansion.   Read more

Their Trucks Carried Trash But Not Insurance (PA) – Robert Jones and Daniel Jones, the owners of R.A. Jones & Sons, a garbage hauling company, have been charged with failing to carry workers’ compensation insurance for more than three years.   Read more

Disabled Man Punched By Court For Teaching Mixed Martial Arts (OH) – Bobby Morgan, Sr. has been ordered to perform 100 hours of community service and pay restitution of $3,157.70 after pleading guilty to workers’ compensation fraud. While he was collecting benefits from a work-related injury, Morgan was unlawfully teaching mixed martial arts.   Read more

Hefty Prison Sentence Imposed In Wyoming Fraud Conviction (WY) – Delaine Davis has been convicted of workers’ compensation fraud for filing workers’ compensation claims while she was gainfully employed with a business. Davis was sentenced to serve 4-6 years in the Wyoming Women’s Center and ordered to pay restitution of $11,072, the amount of benefits that she had collected.   Read more

Cab Driver Changes His Name and Drives His Taxicab While Receiving Permanent Disability (WA) – Shahin I. Shahin has been charged with 15 counts of second degree theft for driving a taxi cab for 16 years while he was receiving time-loss compensation and then total permanent disability pension benefits He claimed that he was unable to work because a security door had fallen on him in 1996 at a restaurant where he was working, and then he legally changed his name in 1998 while he was receiving benefits. During this time, Shahin received two medical examinations to obtain his cab driver's license, showing he was medically cleared to drive a taxi.   Read more

Employee Slipped Up When She Created Puddle of Water For Fake Injury (CT) – Eleanor Dunham has been arrested for filing a false claim for workers’ compensation benefits after allegedly creating a fake injury. Dunham filed for benefits after she reported to medical personnel that she had slipped and fallen in a puddle of water at work and had injured her back. A review of a videotape of the incident showed Dunham spraying water on the floor and then laying down and feigning an injury.   Read more

Newspaper Carrier Makes News By Pleading Guilty To Fraud (OH) – Patricia Rohman has pled guilty to workers’ compensation fraud after investigators found that she was delivering newspapers for the Cleveland Plain Dealer while receiving temporary total disability benefits. Investigators obtained employment records that confirmed that she did work for the paper and that  her employment was inconsistent with her entitlement to benefits.   Read more

Drywall Owner Classified Contractors As Subcontractors (TX) – Mark Edward Helm and McClanahan Drywall, Inc. have been indicted on workers' compensation fraud-related charges. Helm, an officer of McClanahan Drywall, obtained workers’ compensation coverage through Texas Mutual Insurance Company, and he allegedly misrepresented the number of employees and payroll associated with the drywall company by falsely representing contract laborers as subcontractors.   Read more

Each week we'll be surveying what the media, state agencies, insurance companies, and others report in terms of workers' comp fraud. Just like a police blotter, our workers' comp fraud blotter lists recent arrests, charges, convictions and investigations.

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