Changeflow GovPing Government & Legislation NYS Inspector General 2025 Workers Comp Fraud R...
Routine Notice Added Final

NYS Inspector General 2025 Workers Comp Fraud Report: $1.9M Fraud, Arrests Up 50%

Favicon for ig.ny.gov NY Inspector General
Published
Detected
Email

Summary

The NYS Workers' Compensation Fraud Inspector General released its 2025 Annual Report documenting 22 arrests tied to workers' compensation fraud, a 50% increase over the prior year. Investigators identified more than $1.9 million in fraudulent activity across the system, with over $1.7 million recovered through restitution, fines, and court-ordered payments. The report also highlighted ongoing structural vulnerabilities enabling fraud among DOCCS employees, with six arrests in 2025 stemming from investigations into abuse of workers' compensation benefits.

Published by NYS IG on ig.ny.gov . Detected, standardized, and enriched by GovPing. Review our methodology and editorial standards .

What changed

The report summarizes WCFIG's 2025 enforcement activity, including 22 arrests, $1.9M in identified fraud, and $1.7M recovered through restitution and court-ordered payments. The document highlights persistent fraud involving DOCCS (Department of Corrections and Community Supervision) employees and notes that prior recommendations for reform remain largely unaddressed, with investigations ongoing.

Employers, insurers, and medical providers operating in New York should note the increased enforcement activity and focus on systemic vulnerabilities in the workers' compensation system. The report identifies specific fraud patterns including claimants misrepresenting employment status, employers failing to secure required insurance or misclassifying workers, and medical providers engaging in multi-year fraud schemes. The WCFIG received 1,520 complaints in 2025, indicating robust public reporting mechanisms that increase the risk of scrutiny for non-compliant actors.

Archived snapshot

Apr 21, 2026

GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.

April 21, 2026

NYS Inspector General Releases 2025 Workers’ Compensation Fraud Report

More Than $1.9 Million in Fraud Uncovered; Arrests Increase by Over 50% Statewide, with Continued Focus on DOCCS Workers’ Comp Abuse

SCHENECTADY, NY – Today, Inspector General Lucy Lang released the 2025 Annual Report of the Office of the New York State Workers’ Compensation Fraud Inspector General (WCFIG), highlighting expanded enforcement activity, increased public engagement, and continued oversight of systemic vulnerabilities within the workers’ compensation system—most notably ongoing abuse, and resulting arrests, involving employees of the Department of Corrections and Community Supervision (DOCCS).

Joined by Bryan Richmond, Attorney-in-Charge for Workers’ Compensation Fraud, the Inspector General detailed the Office’s work over the past year and its continued efforts to protect the integrity of the system.

As outlined in the report, WCFIG’s 2025 work included:

  • Extensive public outreach across television, print, radio, podcasts, online publications, task forces, and trainings, resulting in 1,520 complaints alleging fraud by medical providers, employers, and claimants.
  • A significant increase in enforcement activity, with 22 arrests tied to workers’ compensation fraud, including both claimant and employer misconduct.
  • More than $1.9 million in identified fraudulent activity across the system, with over $1.7 million recovered through restitution, fines, and other court-ordered payments.
  • Expanded statewide training and outreach, reaching thousands of stakeholders and strengthening fraud reporting and early detection. A central focus of the 2025 report remains persistent fraud involving DOCCS workers’ compensation benefits. Building on a 2023 report that identified widespread and systemic abuse among DOCCS staff, WCFIG continued to dedicate substantial investigative resources to this area.

In 2025 alone, six arrests stemming from WCFIG investigations involved DOCCS employees who fraudulently obtained workers’ compensation benefits. These cases underscore ongoing structural vulnerabilities that continue to enable abuse, including contractual provisions that may incentivize misconduct.

Despite prior recommendations for reform, these underlying conditions remain largely unaddressed, and investigations into additional DOCCS-related fraud are ongoing.

Beyond DOCCS-related cases, WCFIG investigations in 2025 uncovered fraud across multiple sectors, including:

  • Claimants misrepresenting employment status while collecting benefits;
  • Employers failing to secure required insurance or misclassifying workers; and
  • Medical providers engaging in complex, multi-year fraud schemes. These cases often involve sophisticated conduct requiring coordinated, multi-agency enforcement efforts, reinforcing the need for continued vigilance and structural reform.

“As we make continued progress in holding those who commit fraud accountable, we are equally focused on strengthening public trust by bringing the public into public integrity,” said Inspector General Lucy Lang. “The workers’ compensation system is a critical lifeline for New Yorkers, and safeguarding it requires not only strong enforcement, but also transparency, education, and public engagement. We thank the Workers’ Compensation Board for its continued partnership in combating fraud and protecting this vital system for New York’s workers.”

Freida D. Foster, Chair of the NYS Workers’ Compensation Board said, “Fraud in the workers’ compensation system hurts everyone. We applaud the NYS Workers’ Compensation Fraud Inspector General for their diligent efforts and are proud to partner with them to help bring justice to bad actors and ensure a fair system for our fellow New Yorkers.”

The Inspector General also thanked members of the WCFIG Triage Team for their work over the past year, including Attorney-in-Charge Bryan Richmond, Managing Investigator Jane Seely, investigators Jackie Desautels, Amy McMullen, Jim Pescetti, and Mario Rubino, Investigative Nurse Lisa Lingenfelter, and Senior Investigative Counsel & Director of Report Writing Jonathan Masters.

The full 2025 WCFIG Annual Report provides additional detail on investigations, prosecutions, and ongoing oversight efforts across New York State.

The Offices of the New York State Inspector General:

Fostering confidence in New York State government by promoting integrity and transparency through oversight of covered agencies, their employees, and those doing business with the State.

To report wrongdoing, call 1-800-DO-RIGHT (367-4448) or visit ig.ny.gov.

Follow the office’s work on social media at @NewYorkStateIG.

Get daily alerts for NY Inspector General

Daily digest delivered to your inbox.

Free. Unsubscribe anytime.

About this page

What is GovPing?

Every important government, regulator, and court update from around the world. One place. Real-time. Free. Our mission

What's from the agency?

Source document text, dates, docket IDs, and authority are extracted directly from NYS IG.

What's AI-generated?

The summary, classification, recommended actions, deadlines, and penalty information are AI-generated from the original text and may contain errors. Always verify against the source document.

Last updated

Classification

Agency
NYS IG
Published
April 21st, 2026
Instrument
Notice
Branch
Executive
Legal weight
Non-binding
Stage
Final
Change scope
Minor

Who this affects

Applies to
Employers Insurers Healthcare providers
Industry sector
5241 Insurance 9211 Government & Public Administration 9221 Justice & Public Order
Activity scope
Workers' compensation fraud Fraud investigation Systemic abuse oversight
Geographic scope
New York US-NY

Taxonomy

Primary area
Insurance
Operational domain
Compliance
Topics
Employment & Labor Consumer Protection

Get alerts for this source

We'll email you when NY Inspector General publishes new changes.

Free. Unsubscribe anytime.

You're subscribed!