Workers' Comp Fraud Blotter – May 1, 2014
Workers’ Compensation Pill Distributor Sentenced To Ten Years In Federal Prison After Overdose Deaths (NY) – Craig Oleksowicz has been sentenced in federal court to ten years imprisonment for illegally distributing oxymorphone, a Schedule II controlled substance that is a powerful painkiller with a high potential for addiction and abuse, which caused the overdose deaths of two young men. Oleksowicz used worker’s compensation benefits to pay for prescriptions of oxymorphone, codeine, methadone, and other medications that he sold for a profit. Even after the two overdose deaths, Oleksowicz continued to sell his pills. Read more
Janitor Stole Social Security Number and Used It To File Workers’ Compensation Claim (CA) – Blanca Rodriguez has been charged with identity theft for using a social security number that was not issued to her when she filed a workers’ compensation claim. Rodriguez’s claim stated that that she was injured as a result of her duties as an Interstate Cleaning Corporation janitor assigned to a shopping mall, and she received treatment for pain to her lower back, knees and calves. Read more
New York Congressman Indicted On 20 Federal Charges Relating To Former Restaurant Business (NY) – Rep. Michael G. Grimm (R-NY), a former FBI agent, has been charged by federal authorities with mail fraud, wire fraud, tax violations, perjury, and other crimes for activities prior to his election to Congress. The indictment relates to Grimm’s ownership and management of Healthalicious, a health food restaurant in Manhattan, in which he is alleged to have under-reported over $1 million of the restaurant’s sales and wages in order to reduce payroll taxes and workers’ compensation premiums. Many of the employees were paid half of their wages in cash in order carry out this scheme. Read more
Double-Dipper Arrested For Fraud (NY) – Robert Donaldson has been charged with insurance fraud, perjury, and grand larceny, for working while receiving workers’ compensation benefits and providing false testimony about his earnings. Read more
Youth Care Worker Took Temp Jobs While Receiving Workers’ Compensation Income Benefits (TX) – Melody Tendayi has been ordered to pay $6,020 in restitution to Texas Mutual Insurance Company and perform 150 community service hours for workers’ compensation fraud. Tendayi reported a job-related injury while working as a youth care worker for Lifeworks/Youth & Family Alliance and claimed that she was thus unable to work. Subsequently, Texas Mutual uncovered evidence that Tendayi was working as a temporary worker for a staffing service while receiving income benefits. 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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