California Electrician Sentenced for Defrauding Workers’ Comp Providers, Employers

Michael Ray Williams, 37, of Daly City, Calif., was sentenced to 60 days in county jail and three years formal probation after pleading no contest to two felony counts of insurance fraud after illegally working for multiple employers while simultaneously collecting over $85,000 in workers’ compensation benefits from two different insurers.

Williams repaid the State Compensation Insurance Fund $40,000 in restitution and was ordered to pay additional restitution to Travelers Insurance and his former employer.

Williams in 2014 was working as an electrician when he reportedly sustained a work-related injury. He filed a claim with SCIF and began collecting temporary workers’ comp benefits.

An investigation by the California Department of Insurance reportedly revealed that in March 2015, Williams began working for a different employer, yet allegedly continued to collect payments from SCIF. In May 2015, Williams sustained another work-related injury and filed another workers’ comp claim, this time with Travelers Insurance.

Between March 2015 and November 2016, Williams allegedly worked for and was paid by three different employers. At one point, Williams was reportedly collecting payments from SCIF and Travelers for two different work-related injuries, while continuing to work.

Williams allegedly misrepresented his level of injury, abilities, earnings and employment status to SCIF and medical providers, including providing false statements to his Qualified Medical Examiner to collect permanent disability benefits after the temporary benefits were exhausted. Williams was also charged with grand theft for allegedly using his former employer’s credit card for personal expenses, including the purchase of an engagement ring.

This case was being prosecuted by the San Mateo County District Attorney’s Office.

Topics California Commercial Lines Workers' Compensation Business Insurance