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Workers' compensation fraud at California bank

When an employer is taken advantage of through workers' compensation fraud, both the company and its insurer can suffer financial damages. Some professionals may choose to begin the process to reveal the theft and attempt to regain the monetary loss. A woman formerly employed at a local California bank has been accused of workers' compensation fraud after being involved in the robbery that purportedly caused the false mental injury.

The incident occurred when the accused woman helped organize a heist that included armed robbery of her place of employment. During the robbery of the bank that she helped to manage, the employee was staged as having been kidnapped by robbers. The worker claimed to have suffered from her experience and filed a workers’ comp claim for post traumatic stress disorder.

During the investigation, authorities discovered that the bank employee was involved in the robbery and had thus claimed false damages. Her employer’s insurance provided workers’ compensation benefits to her in excess of $35,000 for her disorder and provided $9,000 worth of medical expenses before the criminal charges were pursued. Providing extensive support to someone for a nonexistent injury can place an employer in a very difficult situation.

After the woman had been convicted and was waiting to begin her nine-year prison sentence for the robbery, she was arrested and additionally charged for the alleged workers' compensation fraud. The courts have asked the woman and her accomplices to provide the bank with $557,300 for the robbery, and she may face an additional five-year sentence for the workers’ comp fraud. A California employer that has provided benefits for a false injury may desire guidance in working to regain the financial damages they suffered.

Source: Los Angeles Times, "With workers' comp claim, sham bank-heist figure compounds the nerve", Jack Dolan, Aug. 11, 2014

Source: Los Angeles Times, "With workers' comp claim, sham bank-heist figure compounds the nerve", Jack Dolan, Aug. 11, 2014

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