Workers' Comp Fraud Blotter (3/6/2014) – Disabled Veteran/Postal Employee Collected $9,000 a Month While Flinging Horseshoes

Workers' Comp Fraud Blotter (3/6/2014) – Disabled Veteran/Postal Employee Collected $9,000 a Month While Flinging Horseshoes

 

Workers' Comp Fraud Blotter – March 6, 2014

Disabled Veteran/Postal Employee Collected $9,000 a Month While Flinging Horseshoes (NY) – Richard Klaffka has been charged in federal court with making false statements, mail fraud, wire fraud, and fraud for collecting federal disability benefits under false pretenses. Klaffkan was collecting benefits from the Veterans Administration for a military service injury because he claimed that he was confined to a wheelchair and could not walk, drive, or dress himself. He was also collecting additional benefits from an injury when he worked for the Post Office because he claimed that he was only able to walk with the assistance of a cane and could not lift more than five pounds. But Klaffka was seen driving to a doctor’s appointment, lifting his wheelchair out of his vehicle, and then having his wife push him in the wheelchair. He was also observed playing horseshoes for hours at a time, riding a bicycle, and engaging in strenuous activities on a cruise.   Read more

Double-Dipper Fled To Florida Before the Concrete Could Even Set (OH) – Concrete installer John Neeley has pled guilty to workers’ compensation fraud after he was caught on video working while he was supposed to be recovering from a workplace injury. While collecting disability benefits, investigators discovered that Neeley performed concrete installation jobs for several customers. When he learned of the investigation, Neeley fled to Florida, which only provided a temporary reprieve from justice.   Read more

Disabled School Paraprofessional Moved To New State To Hide Her New Job (GA) – Beth Ealey has been charged with unlawful receipt of workers' compensation benefits in Georgia. She began receiving Georgia benefits after she was injured at the Henry County School System. When she moved to Florida, though, she failed to tell her former employer that she had secured a job with the Putnam County School District in Florida, and she did not inform her new employer that she was totally disabled in Georgia.   Read more

Bookkeeper Fraudster Who Couldn’t Keep Her Hand Out Of Clients’ Cookie Jars Headed To Prison (CA) – Alyce Biggs has been sentenced to 11 years in prison for workers’ compensation insurance fraud, tax fraud and grand theft. In 2010, Biggs was convicted of workers’ compensation fraud and theft and sentenced to one year in jail and probation. After she was released from jail, she returned to her work as a bookkeeper and stole from two more clients by pocketing cash from their bank deposits. As a result, her probation on the workers’ compensation and theft charges was revoked and she pled guilty to new theft charges.   Read more

Former V.A. Employee Pleads Guilty To $460,000 Fraud Scheme (GA) – Loretta Smith has pled guilty to defrauding the U. S. Department of Veterans Affairs (VA) through fraudulent worker’s compensation claims. Smith, while employed with the VA, submitted bogus worker’s compensation claims to the Department of Labor from 2009 through 2013.  She falsely claimed costs for travel which she did not make, and falsely claimed costs for medical treatment which she did not receive.  As a result of her bogus claims, Smith received more than $460,000 to which she was not entitled.   Read more

Scrapping Junk Vehicles For Cash While On Disability (OH) – Joshua Collmar has pled guilty to felony workers’ compensation fraud. Investigators received an allegation that Collmar was scrapping junk vehicles while collecting temporary total disability benefits. The investigators obtained evidence from scrap yards and interviewed customers, who verified that Collmar scrapped junk vehicles and was paid cash for his services.   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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