FRESNO, Calif. ( KSEE/KGPE ) – A Fresno man was arraigned on Thursday for an alleged workers’ compensation fraud scheme in the for-profit school he owns, the California Department of Insurance said.
Officials say an investigation by the Central Valley Workers’ Compensation Fraud Task resulted in the arraignment of Paul Steve Ramirez, 59. Ramirez is being accused of allegedly fraudulently billing insurance companies for workers’ compensation voucher services and failing to provide adequate training for those workers. Those insurance claims, officials say, are estimated to reach $200,000.
The Department of Insurance says Ramirez owns P. Steve Ramirez Vocational Training Centers, a private post-secondary educational institution and Supplemental Job Displacement Benefit (SJBD) training provider. He also owns a secondary business that offers vocational counseling.
SJBD vouchers, according to officials, would provide up to $6,000 for educational retraining or skill enhancement to injured workers who are unable to return to work. Ramirez allegedly gained access to the students at his counseling center and referred them to his educational institution.