Texas Woman Sentenced for Workers’ Compensation Fraud

January 17, 2024

Texas Mutual Insurance Company recently reported that a Travis County district court sentenced Ruth Castilleja of Baytown, Texas, on workers’ compensation fraud-related charges.

Castilleja reported an on-the-job injury while working as a phlebotomist for BestCare Laboratory Services LLC in Houston, Texas, and claimed she was unable to work as a result of the injury. Texas Mutual began paying income benefits to her, but then discovered Castilleja was working as a phlebotomist for another company. This type of activity is considered workers’ compensation fraud and is often referred to as double-dipping because the claimant collects benefits for being too injured to work while simultaneously being gainfully employed.

The Texas Department of Insurance, Division of Workers’ Compensation, prosecutor in Travis County handled the case. The court sentenced Castilleja to a Class A misdemeanor with 18 months deferred adjudication. She also served 3 days in the Travis County Jail and attended theft school. She will pay $7,100 in restitution to Texas Mutual.

Source: Texas Mutual

Topics Texas Fraud Workers' Compensation Talent

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