Thread: More than 100 NYC police and firefighters indicted in PTSD scam

Official: More than 100 NYC police and firefighters indicted in PTSD scam

By Susan Candiotti, CNN
updated 12:13 PM EST, Tue January 7, 2014


Some New York City firefighters and police are indicted in a disability scam, with some claims related to the terror attacks of 9/11.

STORY HIGHLIGHTS

• More than 100 cops and firefighters have been indicted in a disability scam
• Some claimed to have suffered post-traumatic stress disorder after the 9/11 attacks
• The scam spanned more than two decades

New York (CNN) -- More than 100 retired New York City police and firefighters have been indicted in a massive Social Security disability scam involving hundreds of millions of dollars -- with more than half the recipients receiving fraudulent funds for 9/11 post-traumatic stress disorder claims, a law enforcement official with knowledge of the investigation told CNN.

The alleged scam spanned more than two decades, with law enforcement officers and firefighters coached on how to behave before doctors in order to qualify for full disability, the official said Tuesday.

The individuals received $50,000 a year on average because, they claimed, they were no longer able to work, according to the source.

Many of the claims allegedly involved work-related trauma caused by the 9/11 terror attacks. The 9/11-related claims alone totaled hundreds of thousands of dollars.

Some of those charged went on to other jobs, including teaching martial arts, even though the full disability they received involved a diagnosis that they were so traumatized they were incapable of performing any kind of work, the official added.

Among those indicted are the people who allegedly concocted the scheme dating back to 1988, including lawyer and former FBI agent Raymond LaVallee, a pension consultant, and a detective's union official, the source said.

LaVallee could not be reached for comment.

During the course of the scam, hundreds of millions of dollars were fraudulently paid to recipients, according to an investigation started by Manhattan District Attorney Cyrus Vance. The Social Security Administration, New York Police Department Internal Affairs, and U.S. Department of Homeland Security Investigations helped crack the case.
Prosecutors were to release more details during a news conference Tuesday afternoon, including photographs and a video of defendants engaged in activities that would have disqualified them from receiving taxpayer-funded PTSD benefits.

Some continued to receive additional income from pension funds and other sources during the scam, the official added.

http://www.cnn.com/2014/01/07/justic...tsd-9-11-scam/

80 From NY Police and Fire Forces Are Charged in Social Security Fraud

New York Times

- ‎2 hours ago‎

Eighty retired New York City police officers and firefighters were charged on Tuesday in one of the largest Social Security disability frauds ever, a sprawling decades-long scheme in which false mental disability claims by as many as 1,000 people cost ...

http://www.alipac.us/f19/n-j-men-cre...milies-295175/

http://www.alipac.us/f9/nyc-disabili...illion-295185/

More arrested in FDNY, NYPD 9/11 pension scam

By Reuters
February 25, 2014 | 10:43am

John Minerva (left), one of the alleged ringleaders in the Social Security scam.Photo: Dennis A. Clark

MORE ON:

9/11 PENSION PLOT


More to be charged in 9/11 Social Security disability scam


2 plea deals in pension scam


Authorities try to seize $22M from NYPD, FDNY pension 'scammers'


Karate man worst disability scammer: DA



A massive ongoing investigation by Manhattan District Attorney Cyrus Vance’s office had, in January, led to disability fraud charges against 106 suspects – 80 of them retired New York cops and firefighters – with some accused of falsely claiming to have been traumatized by the Sept. 11, 2001 attacks on the city.

On Tuesday, authorities rounded up 28 suspects, including 16 more retired police officers, four former firefighters, and a retired New York City Department of Corrections employee, the source told Reuters.

Vance said the total amount stolen from taxpayers could reach $400 million.

New York City Police Commissioner Bill Bratton said last month he was dismayed by the alleged exploitation of such a searing municipal tragedy.

“The idea that many of them chose the events of 9/11 to claim as the basis for their disability brings further dishonor to themselves,” Bratton said.

Disability payments, pension liabilities and salary demands are among the financial pressures faced by municipalities that are struggling to balance budgets while maintaining basic services.

New York prosecutors have said many of the suspects in the ongoing investigation claimed US Social Security Disability Insurance (SSDI) benefits of $30,000 to $50,000 a year for psychiatric ailments like anxiety, post-traumatic stress disorder and depression.

The retirees claimed the ailments were so incapacitating they were unable to work, or, in some cases, even to leave their homes.

Attorneys for the suspects arrested on Tuesday could not immediately be reached.

http://nypost.com/2014/02/25/more-ar...-pension-scam/