Tuesday, October 21, 2008

LIRR Disability Scammers May See End of Gravy Train

The Federal Railroad Board, which has rubber stamped disability claims from the LIRR to the tune of hundreds of millions of dollars may finally institute new rules that would go a long way to ending the gravy train for former LIRR workers.
Part of the new plan would be to "re-evaluate dubious disability claims" currently being paid at an average yearly rate of $25,000, the source said.

At least 30 percent of the "disabled" LIRR workers are expected to be asked to submit to a new medical exam by a doctor chosen by the USRRB, not the retiree - as was the case in the past.
What about the remaining 70% of those dubious claims? Hundreds of former employees were able to cash in by claiming disability where none existed. That includes those who rode the rails as ticket agents as well as back office workers.

The NY Times, which broke this major scandal, has more on the steps to be taken:
Under the new rules, the retirement board said it would order independent medical evaluations for occupational disability cases from the Long Island Rail Road. Until now, many disability determinations were made solely on the basis of medical evaluations submitted by the applicant’s own doctor.

The board said it would also “re-evaluate dubious disability claims” among the railroad’s retirees and would conduct quarterly on-site reviews of the retirement board’s Westbury office.

To identify suspicious claims, the board said it was assigning a senior supervisor to search for unusual patterns of ailments.

In addition, the board said it would monitor management employees seeking disability payments. Records show that dozens of retired Long Island Rail Road supervisors were receiving them.
While the scandal appears contained to the LIRR, it would make sense to expand the independent medical exam requirement for all those seeking disability claims from the board.

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