Los Angeles Man Charged with Three Felony Counts of Workers’ Comp Fraud

March 18, 2002

The Los Angeles County District Attorney’s Office filed three felony counts of insurance fraud against Edward Martinez, 31,who was already in custody at the Los Angeles County Central Jail on an unrelated case. If convicted, Martinez faces up to five years in state prison and fines totaling $50,000. Bail was set at $30,000.

The charges stem from an investigation of a workers’ compensation claim filed by Martinez in April 2000. Martinez allegedly suffered a back injury after backing his security patrol vehicle into a light pole causing a minor scratch on the vehicle’s rear bumper. Martinez was hired in early April as an armed security guard for Nordic Security Services in Newport Beach, California.

Martinez had been under evaluation by his employer to determine whether he was qualified to continue his employment with the company when the accident occurred. Based on an alleged poor performance evaluation over a three-day period, Martinez was terminated from his position.

Days later, Martinez called Nordic Security Services to report he sustained an industrial injury to his back as a result of the collision with the light pole. Nordic Security Services reported Martinez’s post-termination claim to their workers’ comp insurance carrier, State Compensation Insurance Fund (SCIF). Martinez complained he was unable to return to his normal duties as a security guard because of the alleged pain in his back.

In a subsequent deposition, Martinez stated he had not worked anywhere since the date of his accident. Several months later, a private investigator videotaped Martinez working as a security guard for another company.

Topics Fraud Workers' Compensation

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