Workers Comp Fraud Leads To 4.5 Months In Jail

Workers Comp Fraud Leads to 4.5 Months In Jail

Proving once again that crime does not pay, an investigation from Washington State’s Department of Labor & Industries (L&I) recently led to a four-and- a-half month jail sentence for a Kettle Falls woman. The individual confessed to stealing more than $30,000 in workers compensation benefits.

According to the story by L&I, Heather L. Payne, 22, was sentenced in Thurston County Superior Court late last month, after admitting to using forged signatures to obtain $30,945 in workers comp benefits. As part of the sentencing she agreed to reimburse L&I for the stolen funds.

Forged Signature to Receive Deceased Father’s Pension

Until his death in 2001, Payne’s father received an L&I pension due to a workplace injury that left him permanently disabled. Due to the fact she was a minor at the time, Payne was awarded survivor benefits.

As authorities pointed out, when she turned 18, Payne was entitled to continued support as long as she remained a full-time student. L&I requires the recipients of these benefits to regularly submit paperwork verifying they are still in school.

In October 2010, L&I staff noticed inconsistencies in the forms Payne submitted.

As staff began to investigate, they came across the fact that she had dropped out of school in early 2010. In an interview, she admitted to submitting a forged signature in order to continue receiving the pension benefits.

Author Michael B. Stack, CPA, Director of Operations, Amaxx Risk Solutions, Inc. is an expert in employer communication systems and part of the Amaxx team helping companies reduce their workers compensation costs by 20% to 50%. He is a writer, speaker, and website publisher. www.reduceyourworkerscomp.com. Contact: mstack@reduceyourworkerscomp.com.