Task force probing insurance fund misconduct
By Emmett Berg
July 25, 2007
State and local officials will team up in San Francisco to investigate
allegations that former employees of the State Compensation Insurance
Fund engaged in misconduct, it was announced today.
The official notice of the formation of a task force comprising
investigators from the state Department of Insurance, the California
Highway Patrol and the San Francisco district attorney's office
left out the precise nature of the alleged misconduct.
The State Compensation Insurance Fund is a public, non-profit
workers compensation insurer that was created to provide a "last-resort"
option for companies seeking worker's compensation insurance.
Insurance investigators in April began a review of the fund a
month later turned over information to the highway patrol on potential
improprieties of former employees.
"At this time, the California Highway Patrol said, the State
Compensation Insurance Fund has been cooperating fully with investigators,"
officials said in the joint statement. Highway patrollers are
part of the task force because they also perform police functions
for state agencies and have relevant expertise to offer investigators,
CHP spokesman Tom Marshall said.
The district attorney was invited to participate because the
state Department of Insurance headquarters is located here, according
The task force has created a tip line to allow anyone with information
to come forward. Call (877) 620-2345 toll-free to reach the investigators.
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