Deputy Arrested on Fraud Charges

Scandalous Schemes — By Trace America on June 15, 2010 at 12:29 PM

A Solano County Sheriffs Deputy has been arrested on allegations of committing workers’ comp insurance fraud.  Michael Oster, 49, is being charged with felony counts of insurance fraud for not disclosing additional income he was receiving while out on disability.

According to Claims Journal, Oster filed a workers’ compensation claim, but allegedly misrepresented his inability to work, allowing him to collect more than what he should have been paid for his temporary disability.

“According to the DOI, on November 30, 2007, Oster filed a workers’ compensation claim with Solano County, alleging an injury to his left knee. Oster received his full paycheck pursuant to Labor Code Section 4850 during the first year he was off work, as he was deemed to be temporarily totally disabled (TTD). After receiving one year of 4850 benefits, Oster began to receive TTD payments from the County of Solano. Oster later received long term disability (LTD) payments from the California Law Enforcement Association (CLEA), a private, non-political, nonprofit benefit association that offers benefits California peace officers.”

Oster was said to have collected approximately $87,000 in overpayment of disability by not reporting $67,242 in earnings from Western Career College  and $19,481 in disability payments from the California Law Enforcement Association . 

The former deputy was arrested without incident last Wednesday and is charged with two felony counts of insurance fraud and was booked at the Sacramento jail.  His bail was set at $10,000.  If convicted he faces one to five years in jail and/or up to $150,000 in fines.


This post is authored by Trace America.

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