E. Idaho Man Pleads in Workers’ Compensation Case

May 1, 2009

A former restaurant owner from eastern Idaho has pleaded guilty to defrauding the state’s worker’s compensation program and failing to keep a workers’ compensation insurance policy.

Nathan S. Froehlich pleaded guilty to two misdemeanors and was sentenced to 180 days in jail, with 90 days suspended.

Froehlich owned the Relay Station restaurant in St. Anthony from 2003 to 2006.

In 2006, the State Insurance Fund canceled his workers’ compensation insurance policy, something required of all business owners, for failing to provide payroll reports. The policy was later reinstated May 12, 2006.

But in July 2006, Froehlich filed an injury report for a worker and claimed the injury happened in June. But investigators concluded the injury happened in April. Because Froehlich lacked insurance, the employee was required to pay a medical bill of $21,000.

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