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Kentucky Woman To Repay $69,414 In Workers’ Compensation Case

10 Mar, 2008 WorkersCompensation.com

                               Frankfort, Ky  (CompNewsNetwork) - A Marion, Ky., woman must repay $69,414 after receiving and cashing disability benefit checks for almost four years after the insured’s death.
     
According to Lyon Circuit Court records, Tanya K. Moodie, 47, was named attorney-in-fact for Clara Ingram, a Kentucky Department of Corrections employee who received permanent partial disability benefits due to an injury covered under workers’ compensation. After Ingram’s death on Nov. 28, 2000, Moodie collected and cashed her benefit checks until August 2004.
     
Following an investigation by the Kentucky Office of Insurance Fraud Investigation Division, Moodie was charged with one felony count of insurance fraud. She entered a guilty plea in February and spent 28 days in jail. Earlier this week, Moodie received a two-year, suspended jail sentence and will remain on probation until full restitution is made. 
    
"When insurance fraud goes undetected, we all end up paying. This case sends a clear message that we are serious about prosecuting those who try to cheat the system," said John Burkholder, Office of Insurance acting executive director.
    
 The Office of Insurance is an agency of the Department of Public Protection in the Environmental and Public Protection Cabinet.

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