A Marion, Ky., woman must repay $69,414 after receiving and cashing disability benefit checks for almost four years after the insured’s death, according to Kentucky Office of Insurance.
According to Lyon Circuit Court records, Tanya K. Moodie, 47, was named attorney-in-fact for Clara Ingram, a Kentucky Department of Corrections employee who received permanent partial disability benefits due to an injury covered under workers’ compensation. KOI said.
After Ingram’s death on Nov. 28, 2000, Moodie collected and cashed her benefit checks until August 2004, according to a KOI announcement.
Following an investigation by the Kentucky Office of Insurance Fraud Investigation Division, Moodie was charged with one felony count of insurance fraud. She entered a guilty plea in February and spent 28 days in jail.
Earlier this week, Moodie received a two-year, suspended jail sentence and will remain on probation until full restitution is made.
Source: Kentucky Office of Insurance
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