Former Corrections Officer Busted for Comp Fraud
May 9, 2011
The New York State Insurance Fund announced the arrest of a former New York State corrections officer on felony fraud charges after he allegedly received more than $107,000 in fraudulent workers’ compensation benefits.
New York State Police arrested David R. Perry, 47, of Chemung County on May 5, on a warrant issued by the Town of Union Court. Mr. Perry, charged with violating the Workers’ Compensation Law, insurance fraud and grand larceny – all felonies – was remanded to Broome County jail without bail.
NYSIF Division of Confidential Investigations (DCI) conducted the investigation jointly with the New York State Police and New York State Department of Corrections.
Mr. Perry, who lives in Elmira, NY, received $400 per week in workers’ compensation payments from NYSIF for an injury he allegedly sustained while working as a New York State corrections officer in 2003.
An alert NYSIF claims manager learned about Mr. Perry after reading a news report that he was a “person of interest” in an unrelated case in Pinellas County, Florida, in an investigation conducted by Florida authorities along with the New York State Police. NYSIF DCI contacted New York State Police to offer assistance.
The investigation by New York authorities led to information that the former corrections officer allegedly fabricated his injury in 2003, resulting in Mr. Perry obtaining a disability retirement.
The amount of the alleged fraud committed against NYSIF is $107,402. Investigators estimated the potential future savings on the amount that could have been paid to Mr. Perry had the alleged fraud gone undetected at $288,974.
The Broome County DA is prosecuting the case.
Criminal complaints and indictments are accusations only. Defendants are presumed innocent until proven guilty.