Two Burbank, Calif. brothers face a total of 600 years in prison if convicted of defrauding at least $300,000 from a workers compensation program for injured post office workers.
Authorities say the brothers pleaded not guilty Nov. 8 to charges contained in a 30-count indictment alleging wire fraud. Their trial is scheduled for December. (WCxKit)
Each count of wire fraud carries a maximum sentence of 20 years in federal prison, according to the U.S. Attorney's Office.
The brothers are charged with submitting bills for transporting injured Postal Service employees to non- existent medical appointments.
Investigators claim the brothers operated a pair of Los Angeles-based transportation companies, A&R Medical Transportation and V&Y Management Inc., doing business as Prestige Transportation.
The indictment also alleges they "grossly inflated" the amount of their claims to the Department of Labor's Office of Workers Compensation and private insurers.
Total losses are at least $300,000, according to the indictment. (WCxKit)
The brothers were taken into custody Oct. 20. They remain free after posting $75,000 bond each, according to officials.
Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers Compensation costs, including airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. Contact: [email protected] or 860-553-6604.
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Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers comp issues.
SUBSCRIBE: Workers Comp Resource Center Newsletter
Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers comp issues.
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