West Virginia Man Charged After Illegally Using Over $20K in Deceased Relative’s Workers’ Comp Payments
Tuesday, May 20th, 2025 Fraud Insurance Industry Litigation Workers' CompensationA Salt Rock, West Virginia man has been charged with multiple felonies after investigators uncovered that he spent over $20,000 in workers’ compensation benefits sent to his deceased relative’s account. The deceased, a former Boilermakers Union worker, had been receiving monthly disability payments stemming from a workplace injury in 1987. Despite his death in August 2021, benefits continued for nearly a year due to an administrative oversight.
The accused had been added to the relative’s bank account over a year prior to the death, and continued accessing the funds until the error was discovered. Sedgwick, the state’s workers’ compensation administrator, had unknowingly issued ten additional payments totaling $20,531.30 after the death. During a recorded interview with a special agent, the man admitted to using the funds for personal expenses, including a tractor payment.
The charges include fraudulent insurance acts, obtaining money by false pretenses, and engaging in fraudulent schemes. Authorities are using the case as a reminder to estate executors and family members to report any posthumous benefits immediately to avoid legal consequences and prevent fraud against workers’ compensation systems.
