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Chiropractor and Massage Therapist Wife Indicted
for $181,800 in Workers' Compensation Fraud

On December 15, 1996, following an 18-month probe by investigators from the Bureau of Workers' Compensation (BWC), prosecutors from Attorney General Betty Montgomery's Office obtained indictments against a Cleveland Heights chiropractor and his wife, who allegedly billed BWC more than $177,000 for services they did not perform.

"This is the largest case of workers' compensation fraud by a medical provider we have ever prosecuted," said Attorney General Betty Montgomery. "We are committed to rooting out workers' compensation fraud across the state, whether it's committed by workers, employers, or health care providers."

"We take stealing from Ohio's injured workers and employers as a serious affront," said BWC Administrator James Conrad. "Regardless if you are a medical provider or an injured worker, we will find you and we will catch you."

The alleged fraud committed by Frank Andosca, 34, a Cleveland Heights chiropractor and his wife Karyl, 44, a massage therapist, was uncovered during an unrelated review of the couple's billing practices by BWC. As a result of that review, a more extensive fraud investigation was launched against the couple in January 1994.

Frank Andosca was indicted by a Franklin County special grand jury investigating workers' compensation fraud on one count of theft, a second-degree felony; one count of workers' compensation fraud, a third-degree felony; and a second-degree count of receiving stolen property. Prosecutors allege he fraudulently billed BWC for $114,596.

The chiropractor faces up to 15 years imprisonment on each of the theft and receiving stolen property charges, and up to two years imprisonment on the workers' compensation charge. Karyl Andosca was indicted on one count of grand theft, a third-degree felony, one third-degree count of workers' compensation fraud, and one count of receiving stolen property, a third degree felony. Prosecutors allege she billed BWC $67,204 for services which she did not provide. The massage therapist faces up to two years in prison on each of the three felony charges.

The cases will be prosecuted by attorneys from the Workers' Compensation Fraud Unit of Attorney General Betty Montgomery's Office. The BWC and the Attorney General's Office have made the detection and prosecution of workers' compensation fraud a priority.

In a separate action, Dr. Bruce Holaday, a chiropractor from Cincinnati, pleaded guilty to a fourth-degree felony charge of workers' compensation fraud on December 6th. Holaday, 32, of 613 Legend Hills Dr., Cincinnati, faces up to 18 months in jail and a fine of up to $2,500 for billing BWC for $13,006 in services that he did not provide. Complaints to BWC by former employees and customers led to the investigation of the proprietor of Advantage Care Chiropractic, Inc. Holaday is expected to be sentenced in January 1997.

To report workers' compensation fraud, call BWC's nationwide, toll-free hotline at (800) 837-1554. Callers may remain anonymous.

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This article was posted on August 23, 1999.