For immediate release: October 2, 2012

Tallmadge postal contractor guilty of workers' comp fraud, theft

Albert Harr pocketed USPS payments instead of purchasing workers' comp insurance

COLUMBUS - A Tallmadge (Summit County) man appeared in court last week after a special task force created by the Ohio Bureau of Workers' compensation (BWC) found he was committing workers’ compensation fraud. Albert Harr, a highway contractor for the United States Postal Service (USPS), pleaded guilty to fraud and theft for collecting payments from the postal service to purchase required workers’ compensation insurance coverage but instead pocketing the checks.

"Although it would have presented no out-of-pocket expense to Mr. Harr, he chose to skip the workers' comp policy and instead keep the payment for himself," said BWC Administrator/CEO Steve Buehrer. "This task force has been productive in weeding out contractors who are simultaneously taking advantage of their agreement with the Postal Service and failing to protect their workers."

The task force was created in 2009 by BWC's Special Investigations Department in collaboration with the USPS Office of Inspector General to address a trend among contractors of failing to maintain workers' compensation coverage despite being paid by the Postal Service to purchase coverage. Harr, a self employed highway contractor transporting mail for the USPS, was suspected of fraud after the task force reviewed his contract.

Investigators found that Harr has an active BWC policy and reports wages for one driver but failed to report to BWC that he hired an employee to help him operate the route. As part of his contract, the Postal Service reimburses Harr for expenses, including workers' compensation costs. Investigators additionally found that Harr requested and received reimbursement for the additional workers' compensation costs associated with the new employee.

Harr pleaded guilty to one count of attempted theft, and one count of attempted workers' compensation fraud, both misdemeanors. He was sentenced to one year of probation and ordered to repay restitution in the amount of $2,237.65.

To report suspected workers' compensation fraud, call 1-800-OHIOBWC, visit ohiobwc.com, or visit www.facebook.com/ohiobwcfraud.

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