California postal service employee indicted for compensation benefits fraud

March 6th, 2010 - 3:56 am ICT by BNO News  

SACRAMENTO, CALIFORNIA (BNO NEWS) – A California postal service employee was indicted for falsely claiming an injury and receiving compensation benefits, prosecutors said Friday.

Nicki Lee Buxmann, 46, of Sacramento, California had an outside employment and income in addition to her postal service position, but she falsely claimed to have been injured on her postal service job, denying she had outside income. As a result, she received approximately $278,000 in workers’ compensation benefits.

Buxxmann defrauded U.S. Postal Service by first claiming that she had injured her back, neck, and shoulder while on the job, and the indictment also alleges that she owned and operated gyms in Elk Grove and Roseville, which generated additional income.

Buxxman is now facing a maximum sentence of 20 years in prison for mail fraud, 10 years in prison for theft of U.S. property and a five-year term for false statements.

“While the vast majority of postal employees who collect compensation benefits have legitimate claims, a small percentage abuse the system and cost the Postal Service millions of dollars,” Nichole Cooper, U.S. Postal Service, Office of Inspector General – Area Special Agent in Charge said.

“It is the goal of the Office of Inspector General to terminate fraudulent payments and remove the employee from the Postal Service. Last year, our investigative efforts saved the Postal Service over $185 million in long-term compensation costs,” she added.

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