Imagine someone starts a job and less than two months later jumps on a gravy train to ride out a supposed ankle injury on the Postal Service’s dime. That’s what one Postal Service employee in Ohio did recently, and it’s one of the reasons the USPS OIG’s work to prevent fraud, waste, and abuse is as vital as ever.
A woman joined the Postal Service in June 2020 as a tractor trailer operator, and 54 days later filed a traumatic injury claim with the Department of Labor Office of Workers’ Compensation Programs (DOL OWCP). She had reportedly suffered a pallet jack-related injury to her ankle, knee, and ring finger that left her disabled and unable to work. Honoring protections for on-the-job injuries, the DOL OWCP accepted her claim and began issuing monthly tax-free payments of over $3,300.
The payments kept rolling in and in later DOL OWCP forms, the employee claimed her disability persisted and that she had no outside employment. But an anonymous tip to our OIG Hotline over a year and a half later would change the course of events.
Our special agents began collecting evidence that showed the employee indeed had outside employment and was engaging in a range of physical activities. Financial records obtained through subpoenas showed income from two private companies, including a passenger bus company where she worked as a Class A truck driver. In all, she withheld over $67,000 in unreported income from the DOL OWCP. And in addition to leaving a trail of online evidence of her adventures, which included riding on horseback and all-terrain vehicles, the employee used the fraud to buy a luxury vehicle.
During an interview with investigators, the woman not only insisted on the veracity of her disability — she also falsified a DOL OWCP form in front of them. This came after verbally acknowledging that she understood and had no questions about the form, which clearly states one must continue to be disabled and disclose any outside employment to continue receiving workers’ compensation benefits.
The employee was indicted on five counts of wire fraud and four counts of false statements to obtain federal employee’s compensation. After she pleaded guilty to the charges, she resigned from the Postal Service and was sentenced to 30 days’ imprisonment and ordered to pay over $100,000 in restitution. Thanks to our special agents’ work, bringing this employee to justice saved the Postal Service over $1.5 million in future fraudulent payments.
If you suspect or know of health care claimant fraud involving Postal Service employees or contractors, please report it to our Hotline.