Texas Workers’ Comp Fraud

February 11, 2002

A Travis County District Court sentenced Liza Fortune on charges of insurance fraud and ordered her to pay $15,013.89 in restitution to Texas Mutual Insurance Company. Fortune’s two-year sentence was suspended for four years, and the court fined her $250 and ordered her to seek counseling, as recommended by probation, for violating a state law stipulating that injured workers are entitled to temporary income benefits (TIBs) only if unable to work due to job-related injuries. A Texas Mutual investigation discovered that Fortune was able to work while collecting TIBs, and was in fact working for two temporary service companies. Fortune claimed to have suffered an on-the-job injury at Arlington Jet Center Inc., and her doctor declared her unable to work. The employer contacted Texas Mutual with suspicions because Fortune was difficult to contact during her time off work. Sharmane Bryson, a Texas Mutual workers’ comp specialist, asked Fortune on two occasions whether she was working. Fortune replied “no” both times, and Bryson documented the conversation in her file. Another investigator, Michael Bradley, could not amass enough evidence to prove fraud, but reopened the case after six months. At that time, a routine check with the Texas Workforce Commission discovered that Fortune had worked for two temporary services while collecting TIBs.

Topics Texas Fraud Workers' Compensation

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Insurance Journal Magazine February 11, 2002
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