Edwin F. Santiago of Palmdale, Calif., was arraigned on Dec. 11 on one felony count of insurance fraud following an investigation by the California Department of Insurance investigations branch. Santiago, 41, was booked into Los Angeles County Jail and bail was set at $25,000.
If convicted, Santiago could face up to five years in state prison and/or a fine up to $50,000. Santiago was on temporary total disability leave for an injury that he sustained while employed at Northrop Grumman in Palmdale. However, CDI investigators were informed Santiago was doing carpentry and construction work on the side for the physical therapy clinic where he was being treated.
A CDI investigation confirmed Santiago was performing construction, gardening and landscaping work for the clinic. According to investigators, Santiago forwarded forms to AIG Claims Services certifying that he had not earned wages or returned to any form of work and that he was not self-employed. According to investigators, Santiago also testified in a deposition that he did not have any concurrent employment or second job in the past three years while employed at Northrop.
However, a private investigator with AIG, Northrop’s insurer, videotaped Santiago on two consecutive days as he constructed a metal fence and did gardening work outside the physical therapy clinic. The investigation also revealed Santiago was being paid for his work by the physical therapy clinic.
Topics California Fraud
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