Whopping amount fraudsters have pocketed in dodgy work compo claims

Fraudsters pocketing thousands in dodgy workers compensation claims have come undone thanks to this new innovation.

Investigators from Victoria’s workplace safety watchdog have halted almost $37m in dodgy workers compensation claims.

Investigators from Victoria’s workplace safety watchdog have halted almost $37m in dodgy workers compensation claims being pocketed by fraudsters in the past four years.

Among the scam artists prosecuted by WorkSafe in the last year was a Melbourne business manager who claimed he was unable to work due to workplace bullying while secretly running his own consultancy company, and a mechanic who fibbed about a shoulder injury while moonlighting as a rideshare driver.

Figures released to the Herald Sun reveal investigators blocked 23 fraudulent claims in the 2021-22 financial year with a combined projected lifetime cost to the workers compensation scheme of $19.47m.

But with the help of new technology and tracing capability, WorkSafe has issued a warning to anyone attempting to scam the system, vowing: “we will catch you”.

In May, business manager Dale Monk was convicted and ordered to repay more than $100,000 in dodgy compensation payments he received while off work for “mental anguish”.

WorkSafe has completed 65 successful fraud prosecutions, resulting in more than $1.65 million in restitution and repayments since July 2018.

The Ringwood Magistrates’ Court heard Monk lodged a claim for mental injury caused by a bullying allegation in June 2019 and received more than $150,000 worth of support payments up until February 2021.

But a WorkSafe probe later revealed he had secretly been operating his own consultancy service between November 2019 and September 2020, pocketing an extra $19,000.

And in February last year, mechanic Muhammad Faisal was convicted of defrauding the workers’ compensation scheme after receiving more than two years’ worth of weekly payments for a shoulder injury while also working as a taxi and rideshare driver.

The Werribee Magistrates’ Court heard Faisal, 38, received the injury support payments totalling more than $96,000 between 2017 and 2019 before his deception was discovered.

He was ordered to repay the defrauded funds and sentenced to a two-year community corrections order.

WorkSafe has completed 65 successful fraud prosecutions, resulting in more than $1.65 million in restitution and repayments since July 2018.

In the majority of those cases the accused was found to be earning income at the same time as claiming compensation.

WorkSafe Director Investigations Peter Collins said computer-based analytics and data matching were playing an increasing role in exposing those lining their pockets at the expense of injured workers.

“Tools for detecting workers compensation fraud are becoming increasingly sophisticated, making it easier to identify suspect patterns of behaviour and claim types,” Mr Collins said.

“Anyone attempting this kind of fraud should know that WorkSafe has developed and deployed new techniques, meaning we will find you, we will catch you and we won’t hesitate to prosecute you,” he said.