Nailed: A fraud prevention and compliance blog

Written by Elizabeth Smith,
L&I's Assistant Director for
Fraud Prevention and
Labor Standards

Jun. 26, 2012

Albion man convicted in workers’ comp fraud case

An Albion man who tried to cheat the system – fraudulently claiming nearly $40,000 in workers’ comp benefits – is finding his theft comes at a steep price.

Last week (June 21), a jury in Whitman County Superior Court convicted Michael D. Cox, 52, of one count of first-degree theft and one count of second-degree theft. The jury was unable to reach a decision on a separate count of first-degree theft.

As detailed in an earlier KLEW-TV news report, Mr.Cox filed a claim for a workplace injury in December 2006, but made 11 claims for wage replacement when he was capable of working. He received nearly $40,000 in benefits. L&I began investigating after receiving a tip that Mr. Cox was not as badly hurt as he claimed.

Investigators obtained videotape of Mr. Cox working on the construction of a house near a rental home he owned in Albion, showing that he was capable of working and did not have the physical limitations he had claimed.

He is scheduled to be sentenced on July 20 at 1:30 p.m. and faces up to 15 years in prison.


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