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

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 out reach across television, print, radio, podcasts, online publications, task forces, and trainings, resulting in 1,520 com plaints alleging fraud by medical providers, employers, and claim ants.

• 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 involv ing DOCCS workers’ compensation benefits. Building on a 2023 report that identified wide spread 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 com plex, 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 contin ued progress in hold ing those who commit fraud accountable, we are equally focused on strengthening public trust by bringing the pub lic 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 work ers’ compensation sys tem 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, Man aging 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, prosecu tions, and ongoing over sight efforts across New York State.