Florida Alleges $2.7 Million Workers’ Compensation Fraud

Florida regulators have announced the arrest of a North Carolina man who allegedly collected more than $2.7 million in workers’ compensation premiums from a company by providing a fake policy.

Florida Chief Financial Officer Jeff Atwater said that Delmas Fuller, of Wake Forest, North Carolina has been charged with mail and wire fraud.

Florida’s insurance fraud investigators say that National Employment Services believed they had purchased a workers’ compensation policy through a North Carolina insurance agent named David Walker, doing business as Southeast Services Inc. The company told investigators it had paid Southeast Services some $2.7 million, for which Walker issued multiple certificates of insurance.

Investigators said they found that the company named as the insurer on the documents had no agent by the name of Walker and had never received any type of premium payments from National Employment Services. They also said that the business address used by Southeast Services was actually a private mailbox in Myrtle Beach, South Carolina owned by Fuller and that while no premium payments had been paid to the insurance company, hundreds of thousands of dollars were paid directly to Fuller.