According to a report from Insurance Journal, a Georgia business owner and another man from Atlanta have been sentenced as part of a multi-million dollar workers’ compensation fraud scheme in California. Wesley Owens and Beau Wilson both pleaded no contest to felony workers’ compensation fraud charges. Here, our Fresno workers’ compensation defense attorney discusses the fraud case in more detail.
Georgia Men Sentenced as Part of $54 Million Workers’ Compensation Fraud Scheme
As stated by the Los Angeles County District Attorney’s Office, Atlanta residents Wesley Owens, 54, and Beau Wilson, 38, admitted to multiple felony counts of insurance fraud and conspiracy in Los Angeles Superior Court. This was following a comprehensive investigation by California state regulators who uncovered a $54 million workers’ compensation fraud scheme.
Mr. Owens—the owner of a company called Bison Workforce Solutions—purportedly conspired with Mr. Wilson to generate fake insurance certificates for the company’s clients. California investigators determined that the company failed to pay nearly $30 million in California workers’ compensation premiums. The company’s customers were reportedly cheated out of more than $25 million.
Wesley Owens and Beau Wilson were both sentenced to felony workers’ compensation fraud in separate proceedings in Los Angeles County in March. They will both serve 10 years of formal probation and pay a significant amount in financial restitution to affected parties.
Workers’ Compensation Fraud Undermines the Integrity of the System
California regulators contend that workers’ compensation fraud is a billion-dollar problem in our state. It comes in many forms—from employers underreporting their payroll to employees misrepresenting the severity of their injuries. Workers’ compensation fraud poses a significant threat to the integrity of the system designed to protect employees and employers alike. By exploiting vulnerabilities in the process, unscrupulous individuals undermine trust in the insurance framework, causing financial strain on honest businesses and jeopardizing the security of injured workers. Fraudulent activities can lead to higher premiums for law-abiding companies, negatively impacting their competitiveness and profitability.
California Regulators Continue an Aggressive Crackdown on Workers’ Compensation Fraud
In recent years, there has been a sharp spike in the aggressiveness of California regulators. State agencies and prosecutors in our state are cracking down on allegations of workers’ compensation fraud. Their aggressive crackdown on fraudulent schemes serves as a deterrent to those seeking to exploit the system for personal gain. Any party accused of workers’ compensation fraud needs to take proactive measures to protect their rights and interests. Likewise, any party that has suffered losses due to suspected workers’ compensation fraud—whether an employer, a claims administrator, or an insurance company—should take immediate action to protect their best interests.
Consult With a Fresno, CA Workers’ Compensation Defense Lawyer Today
At Yrulegui & Roberts, we are a solutions-driven workers’ compensation defense law firm committed to protecting the rights and interests of our clients. If you have any questions about a workers’ compensation fraud matter, please do not hesitate to contact us today for a completely confidential case evaluation. Our firm provides workers’ compensation defense representation in Fresno and throughout the wider region in Central California.