Four Charged in Southern California Workers Compensation Fraud Scheme

Four people in Southern California have been charged with felony conspiracy and unlawful referrals in connection to a workers’ compensation fraud scheme that targeted Spanish-speaking workers, the California Department of Insurance announced. Investigators estimate the fraudulent activity resulted in losses exceeding $14.5 million, based on average claim costs reported by the Workers’ Compensation Insurance Rating Bureau.

The investigation began in October 2022 after reports surfaced that a call center based in Mexico had been contacting Spanish-speaking workers, misleading them into filing workers’ compensation claims under false pretenses. These claims were then unlawfully sold to attorneys based in the Inland Empire.

Authorities arrested two attorneys and two other individuals, who now face multiple felony charges. One of the defendants, with prior convictions for similar offenses, surrendered voluntarily. The case is being prosecuted by the San Bernardino County District Attorney’s Office, and bail amounts for the accused were set as high as $500,000.