RTW Rehab Pays W.Va. Commission $40,000 Restitution, Fined $50,000

June 29, 2006

RTW Rehabilitation Services Inc. of Baltimore, Md. has pleaded guilty to one charge of mail fraud in federal court in Charleston, W.Va. and ordered to pay $40,000 in restitution to the West Virginia Offices of the Insurance Commissioner according to a statement from Commissioner Jane L. Cline. RTW was also fined an additional $50,000.

RTW admitted to submitting fraudulent bills through the U.S. Postal Service to the former Workers’ Compensation Commission for professional services that were not being performed.

“Insurance fraud is not a victimless crime, and it is critical that we continue protecting West Virginia consumers and employers against individuals who commit insurance fraud of any kind,” Cline said. “The sentencing of RTW Rehabilitation Services, Inc. demonstrates the continued efforts of the Offices of the Insurance Commissioner to control insurance fraud in the state of West Virginia.”

Investigation and prosecution in this case has been a joint effort with the U.S. Attorney’s Office and the Offices of the Insurance Commissioner. Anyone with information relating to suspected insurance fraud is urged to call, toll-free, 1-888-372-8392.

Source: West Virginia Department of Insurance

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