December 10 :
After pleading guilty to stealing over $1.1 million meant for doctors treating injured workers under New York's Workers' Compensation Law, 62-year-old Amrish Patel of Monroe Township, New Jersey, was given a five-year probationary term and forced to pay $300,000 in restitution. Patel's seven-year fraud scheme saw him finance fancy cars and extravagant vacations with money that was supposed to go to three surgeons in Brooklyn.
The sentencing was announced by both the New York State Inspector General Lucy Lang and the Attorney General Letitia James. It marks the end of a joint investigation that involved the Inspector General's Workers' Compensation Fraud Unit, the New York State Insurance Fund, and the Office of the Attorney General (OAG).
After operating on injured employees, Patel's job as a medical billing representative was to file insurance claims. Patel forged the signature of one doctor and fabricated hundreds of claim forms to hide his activities; instead of sending money to the orthopedic clinic as needed, he diverted checks to his firms.
Between 2012 and 2019, Patel embezzled a minimum of $1.1 million. He spent the approximately $1 million in cash on trips to London, Portugal, and Las Vegas, as well as Audi and Mercedes-Benz models, according to a forensic assessment. An office manager at the clinic found a fax in 2018 that showed a check was issued directly to one of Patel's entities, which led to the unraveling of the fraud.
Insurance fraud in the second degree is a Class C felony, and Patel pled guilty to one count of it in September. As part of his punishment, he must pay back victims what they were paid in a private civil settlement, plus serve probation and make restitution.
The theft of funds intended to pay for injured workers' medical care is harmful to both the medical professionals and the people of New York who depend on these vital services, stated Attorney General Letitia James. People who take advantage of our healthcare and compensation systems for their own benefit will be pursued by us indefinitely.
New York's dedication to eradicating fraud is emphasized by the penalty, as Inspector General Lucy Lang said. There will be severe repercussions for individuals who cheat our systems, as this instance shows, according to Lang.
This case exemplifies how different state agencies work together to safeguard the Workers' Compensation system. The financial strain on honest firms and taxpayers is exacerbated by such frauds, according to Gaurav Vasisht, Executive Director and CEO of NYSIF. It is crucial to be vigilant in identifying and pursuing fraud in systems that are meant to help wounded workers, and Patel's case is a clear example of this.
