An Auburn, California businessman will serve 21 month in prison and three years’ probation for his role in worker’s compensation benefits fraud.
The individual, owner of a boat and recreational vehicle storage business in Auburn, pleaded guilty to seven counts of making false statements to acquire federal employees’ compensation benefits. The man was ordered to pay $237, 676.20 in restitution to the Department of Labor.
Court documents show the man continued to claim disability benefits from a back injury he suffered as a civilian employee for the United States Navy in 1989. On seven different occasions he reported, under penalty of perjury, he was not making an income and collected $2,000 every month in 2000 and $2,214.72 in September 2008 in disability payments. (workersxzcompxzkit)
Between January 2000 and Sept. 16, 2008, the defendant received more than $250,000 in disability payments he knew he couldn’t legally lay claim to because of his involvement with his business.
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