Fraud of the WeekWorkers Compensation - CaliforniaAmount - $200,000

An employer was charged wirth eleven felony counts including insurance fraud and prohibited referrals; the insurance claims reach an estimated $200,000. The employer owned two companies, one a Supplemental Job Displacement Benefit training company and the other providing vocational counseling. Vouchers for the first company provide up to $6,000 for educational retraining or skill enhancement for workers who have been injured on the job and are unable to return to work at their employer. The man referred students between his two companies for his benefit. He fraudulently collected voucher funds related to 37 different students over a period of three years. Insurance companies were billed for services even though the students did not qualify for the program. Many workers did not receive the required benefits because of unsuccessful completion of courses because they were enrolled in courses they should not have been enrolled in.