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Fraud of the Week: "Groundhog Day" in New York

A Plattsburgh, New York area man convicted of insurance fraud less than a decade ago now finds himself in a familiar predicament.

By Christina Bramlet | Updated on January 31, 2010

A Plattsburgh, New York area man convicted of insurance fraud less than a decade ago now finds himself in a familiar predicament. Authorities arrested James R. Lacey, 54, for a similar affront on Jan. 13, 2010 after reportedly learning that he falsified a medical examination to reap full workers’ compensation benefits when he may have justifiably been entitled to only partial benefits.

According to the New York State Insurance Department, Lacey collected $6,600 in benefits exceeding what he was entitled. The benefits started trickling in after Lacey sustained a back injury in a 2007 traffic accident while he was working as a trash collector for a private garbage collection company. Although investigators do not dispute the fact that Lacey did incur injury at that point, they contend that he failed to divulge the previous ailment, which would have precluded him from being able to receive full wage replacement benefits.

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