3 Years, 4 Months In Prison For Former LIRR Foreman In Disability Fraud Scheme
NEW YORK (CBSNewYork/AP) — A former Long Island Rail Road train maintenance foreman was sentenced to more than three years in prison Wednesday for his role in a disability claims scheme at the railroad.
Fred Catalano of Nesconset was sentenced Wednesday in Manhattan federal court to three years and four months, Newsday reported.
Catalano also was ordered to pay back $62,000 to the federal Railroad Retirement Board.
Prosecutors obtained convictions or guilty pleas from all 33 doctors, consultants and retirees charged in the case.
Doctors admitted to helping employees falsely claim they were unable to work, in order to collect disability pensions from the Federal Railroad Retirement Board on top of their LIRR pensions.
One defendant who has also pleaded guilty, Dr. Peter Ajemian, admitted that if the fraud had not been discovered, the losses to the pension systems would have totaled $200 million.
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