“There is not sufficient evidence for the Court to award restitution,” say federal prosecutors in a declaration concerning many of the claims made by carriers about a workers’ comp fraud ring. The ring generated hundreds of millions of dollars in billings for spinal surgeries that were fueled by a widespread kickback scheme paying providers for …
Assembly Insurance Committee chairman Tom Daly (D-Anaheim) won easy passage out of his committee for two bills that he is championing – AB 1749 covering workers’ comp benefits for peace officers injured out of state, and AB 2046 to implement new anti-fraud provisions. Each bill passed unanimously, but not without some industry opposition. Daly is …
Applied Underwriters will have to face a California employer’s fraud charges over its controversial EquityComp program after a federal district court judge refused to dismiss the claims. The case was …
The Department of Industrial Relations and the California Department of Insurance have either fully implemented the recommendations made by the California state auditor for improving their fight against workers’ comp fraud or are well on their way to compliance. The Assembly Insurance Committee is also preparing to add recommendations from that December report to legislation …
The number of physicians suspended from California’s workers’ comp system under the AB 1244 rules is increasing. It is now up to thirteen. The Division of Workers’ Compensation’s Administrative Director approved the suspension of three providers after they challenged the orders before Workers’ Compensation Appeals Board administrative law judges. Four others were suspended from the …
Old charges were dismissed and new felony charges filed against the alleged co-conspirators in a Los Angeles workers’ comp fraud scheme that reportedly bilked California employers and carriers out of $150 million. The legal maneuverings split the case into three separate actions in a bid to streamline the prosecutions of 12 defendants in the alleged …
The widow of a former San Diego deputy district attorney previously accused of using workers’ comp fraud prosecutions to further sexual relations with defendants, including her, is now suing claiming that she too was a victim of malicious prosecution. Before their marriage, the widow and her former husband, a construction industry contractor, were allegedly prosecuted for …
Two executives and the accountant for a high-end garment manufacturer will be sentenced next month for their role in cheating a handful of workers’ compensation carriers out of nearly $3.2 million in workers’ comp premiums. The trio also cheated the state out of employment taxes when they underreported their payroll. Sung Hyun Kim and Jae …