Though employers in California and other states must purchase insurance that protects employees who are injured or become ill on the job, they should not have to bear the burden of increased premiums and financial losses caused by workers who attempt to misuse the system. Workers' compensation fraud remains problematic for many business owners. Employers who suspect that a fraudulent claim has been filed within their companies will want to be aware of the legal options available to fight against illicit claims.
A situation in another state led to an indictment on a recent Monday against a bartender accused of defrauding an employer. Apparently, the man was injured in 1994 while employed at a grocery store. Since then, he has allegedly claimed that he remained unemployed. He reportedly collected nearly $25,000 in workers' compensation benefits.
The 56-year-old man was indicted by a grand jury for larceny and workers' compensation fraud. It seems he has been working as a bartender while continuing to claim that he was unemployed. The Inspector General in New York, where the indictment was handed down, said that in light of the man's job as a bartender, he was not entitled to the benefits he collected.
Workers' compensation benefits are meant to provide financial aid to injured workers, which can help pay medical expenses and replace lost wages. Any worker who attempts to file a fraudulent claim in order to seek personal financial gain is breaking the law. California employers may take immediate legal action against individuals accused of workers' compensation fraud by contacting a workers' comp attorney for assistance.
Source: the-leader.com, "Elmira bartender indicted on workers' comp fraud charges", April 18, 2016