Owner Pleads Guilty To WC Fraud
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Sacramento, CA (CompNewsNetwork) - United States Attorney Benjamin B. Wagner announced today that MARK ANTHONY CORRENTI, 50, of Auburn, California pleaded guilty today. The guilty plea was entered before United States District Judge Garland E. Burrell to seven counts of filing False Statements to Obtain Federal Employees’ Compensation in violation of 18 U.S.C. § 1920.
This case is the product of an extensive investigation by the Department of Defense Office of Inspector General’s Defense Criminal Investigative Service (DCIS), and the Department of the Navy.
According to Assistant United States Attorney Kyle Reardon, who prosecuted the case, since 1989, CORRENTI has received disability payments under the Federal Employees’ Compensation Act (FECA) for a back injury that he suffered as a civilian employee for the United States Navy. Since 2000, these payment have grown from approximately $2,000 every month to $2,214.72 in September 2008.
In order to remain eligible for FECA benefits, disabled employees must provide medical and factual evidence to establish the essential elements of their disability claim. After being accepted for disability, employees must file with the Office of Worker’s Compensation Programs an annual report of earnings. This report is made on Department of Labor form CA-1032 under penalty of perjury and is material to determining a FECA participant’s eligibility for benefits.
On seven occasions between December 19, 2002, and June 4, 2008, CORRENTI falsely certified on his CA-1032s that he was not involved in or earning any income from any business. In fact, since at least 2000, CORRENTI has been the owner of Safe N Sound Storage (SNSS), a boat and recreational vehicle storage business located in Auburn, California. As a result of his involvement with and income from this business, he has been ineligible for some or all of the disability payments that he has received. Between January 1, 2000 and September 16, 2008, CORRENTI received over $250,000 in disability payments to which he knew was not entitled because of his involvement with Safe N Sound Storage.
CORRENTI’s involvement with Safe N Sound Storage included meeting with clients and customers, signing rental contracts and accepting payment for services, and appearing on behalf of SNSS at Placer County Board of Supervisor meetings. CORRENTI has also engaged in litigation with customers, contractors, and neighbors of Safe N Sound Storage and represented on official court filings that he and his wife own Safe N Sound Storage.
On July 24, 2008, undercover special agents from DCIS met with CORRENTI at Safe N Sound Storage to inquire about renting storage space. During the course of this meeting, CORRENTI stated that he is at the location at all times; that he is the one responsible for the decisions at the business; that the business is all that he does; that it is his “dream job;” and that he has been in the business for eight years.
CORRENTI is scheduled to be sentenced by Judge Burrell on January 29, 2010, at 9:00 a.m. The maximum statutory penalty for each violation of 18 U.S.C. § 1920 is five years imprisonment, a fine of $250,000, and a three-year term of supervised release. However, the actual sentence will be determined at the discretion of the court after consideration of the Federal Sentencing Guidelines, which take into account a number of variables, and any applicable statutory sentencing factors.
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