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

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.