News Digest 10/25/2006

By: Rick Waldinger

Quote of the day

"I don't know. I don't know all of them."

Chicago Mayor Richard Daley, when asked to explain why so many disability claims against the city have been filed by people on the "clout list" released during a recent trial that ended in the conviction of his former patronage chief

Go to the full story in the Chicago Sun-Times

Chicago Mayor Pledges Cooperation to Resolve Comp Scandal
Although he tried to play the blame game last week, Chicago Mayor Richard Daley says he will work with political rival and Ald. Ed Burke to reform a “complicated” workers compensation system that has been open to abuse by city patronage workers and has cost the city millions of dollars. By Fran Spielman and Tim Novak, Chicago Sun-Times [With Photo] Go to the Full Story…

Berkeley Council Candidate Touts City’s Workers’ Comp Savings
Gordon Wozniak, candidate for Berkeley City Council, says the city is an “impressive success story” with regard to controlling workplace injuries and saving $1 million this year in workers’ compensation costs. By Gordon Wozniak, Berkeley Daily Planet
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Zenith Reports Third Quarter Results
Zenith National Insurance Corp. reported net income of $72.2 million, or $1.94 per share, for the third quarter of 2006 compared to net income of $23.0 million, or $0.63 per share, for the third quarter of 2005. Workers’ Comp Executive
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Muni Manager Honored for Fraud-Fighting Efforts
Jeff Gary, a workers’ compensation manager for the San Francisco Municipal Transportation Agency, is one of a dozen municipal employees honored for work against fraud, waste, and bureaucracy. He has rooted out fraudulent claims and reduced workers’ comp costs at the MTA by $3.7 million for 2006. By Melanie Carroll, San Francisco Examiner
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Relationship Between Toxic Particles and Disease at Forefront of Sept. 11-Related Lawsuits
With thousands of office and recovery workers seeking compensation and treatment for dust exposure related to the Sept. 11 attacks on the World Trade Center, the question in each case is: Can a link between the dust and disease be proved with scientific certainty? By Anthony DePalma, New York Times [With Photos] Go to the Full Story…

Pittsburgh Woodchipper Owner Faces Fraud Charges
The owner of a company whose woodchipper broke loose from an employee-driven truck in April, killing a 37-year-old father and two of his young triplets in an oncoming minivan, appears in court this week for a preliminary hearing. The owner faces 537 fraud charges including failing to provide employees with workers compensation insurance coverage.
Go to the full story by Andrew Johnson, Pittsburgh Tribune-Review [With Photo] Go to the full story in WPXI-TV (Pittsburgh) [With Video]

Will Noe’s ‘Blame the Contract’ Defense Backfire?
Through the first week of testimony in the corruption trial of Tom Noe, who is accused of looting more than $2 million from the coin funds he managed on behalf of the Ohio Bureau of Workers’ Compensation, his defense team attacked the sweeping authority the Ohio Bureau of Workers’ Compensation gave him to transact with the funds. But some defense attorneys think that strategy may backfire. By Mike Wilkinson, Toledo Blade
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Probe Looks at Improper Manipulation
A special investigations unit and internal auditors at the Ohio Bureau of Workers’ Compensation are probing whether employer premium rates have been “inappropriately manipulated,” according to a bureau spokeswoman. By Laura A. Bischoff, Dayton Daily News
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