Calif. Woman Pleads Guilty to Felony Charge in Workers’ Comp Fraud Case

May 17, 2005

Sandra Canas, a resident of Daly City, California, pleaded guilty on May 11 to a felony charge of workers’ compensation insurance fraud.

Canas was arrested on Nov. 10, 2004, by investigators from the California Department of Insurance Fraud Department for receiving income while receiving workers’ comp benefits and misrepresenting her level of disability to her doctor.

A trial was scheduled in Superior Court of California, County of San Mateo. Prior to trial, Canas changed her plea from not guilty to guilty and, by court order, is barred from receiving any workers’ comp benefits, or from re-opening this case.

The San Mateo County District Attorney’s office prosecuted the case, which was jointly investigated by the California Department of Insurance Fraud Division and Keenan & Associates, one of the largest privately held insurance brokers and consulting firms in the state.

Canas, who was an employee of South San Francisco Unified School District at the time of the original work injury, was hired and paid as a housekeeper during the period she was receiving disability payments and did not notify her claims adjuster at the Redwood City branch of Keenan & Associates, third-party administrator for the San Mateo County Schools Insurance Group JPA.

Canas is scheduled for sentencing on Aug. 17, 2005, when the judge could order full restitution and up to one year in jail.

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