Running Up a Tab


Individuals who visit a bar often open a tab to keep the drinks coming. A South Paris, Maine man took the concept of “running up a tab” to a whole new level. He essentially opened a tab with a workers’ compensation insurance company and kept the benefit checks coming while he was working another job. He committed workers’ compensation fraud by claiming he was unable to drive while running his own wine distribution business. (He delivered wine while whining about his inability to work due to a purported on-the-job injury.)

 While working as a fuel oil delivery driver, the man from Maine purportedly hurt his head after falling from a truck. He qualified for workers’ compensation benefits and continued to receive the weekly checks from the Portland-based insurer. (And, the weeks turned into months. He was running up quite a tab while claiming he was unable to work or drive.)

The insurance company became suspicious and conducted surveillance. Investigators discovered that despite an alleged head injury, he was driving quite well. (He had started his own wine distribution business and was observed making deliveries to stores in two Maine counties.)

Several months later, the wine distributor stopped receiving workers’ compensation benefits. Up until that time, the driver had received $16,000 from the date of his alleged injury up until the first surveillance video, and another $10,000 after that time. (The insurance company cut off the flow of free money because he had imbibed too much.)

 After reviewing the surveillance footage and consulting with medical experts, the workers’ compensation insurer made a last call, signaling the end of this fraudster’s scam. The 53-year-old man from South Paris pleaded guilty to workers’ compensation fraud. He must pay more than $10,000 in restitution to close out his tab. If he pays up, he’ll serve only 30 days in jail. If not, he’ll serve 90 days in jail. (And, I’m guessing the relationship with his former employer is officially on the rocks. He’ll no longer foot the bill for his deceptive and whiny employee.)

Today’s “Fraud of the Day” is based on an article entitled, South Paris man found guilty of insurance fraud, must pay over $10,000 in restitution,” posted on on March 25, 2018.

AUGUSTA, Maine — A South Paris man has been found guilty of insurance fraud, the State Attorney General’s office announced Friday.

In a press release, Attorney General Janet Mills said that 53-year-old Daniel Reavis pleaded guilty to theft by deception from MEMIC, Inc., a workers’ compensation insurer based in Portland.


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Larry Benson, Senior Director of Strategic Alliances, LexisNexis Risk Solutions - Government

Larry Benson is responsible for developing strategic partnerships and solutions for the government vertical. His expertise focuses on how government programs are defrauded by criminal groups, and the approaches necessary to prevent them from succeeding.

Mr. Benson has 30 years of experience in sales and business development. Before joining LexisNexis® Risk Solutions, he spent 12 years founding and managing two software technology startups. During the 1990s he spent 10 years as a Regional Director helping to grow a New England-based technology company from 300 employees to 7,000. He started his career with Martin Marietta Aerospace working on laser guided weapons and day/night vision systems.

A sought-after speaker and accomplished writer, Mr. Benson is the principal author of “Fraud of the Day,” a website dedicated to educating government officials about how criminals are defrauding government programs. He has co-authored WTF? Where’s the Fraud? How to Unmask and Stop Identity Fraud’s Drain on Our Government, and Data Personified, How Fraud is Changing the Meaning of Identity.

Benson holds a Bachelor of Science in Physics from Albright College, and earned two graduate degrees – a Master of Business Administration from Florida Institute of Technology, and a Master of Science in Engineering from Lehigh University.