Black Hawk Mining Fraud Watch: Local Mining Contractors Plead G

Posted by Ashley-Smith-190 on Apr. 10, 2013

black hawk mining fraud watch CHARLESTON — Several local men pleaded guilty to federal charges of orchestrating a multimillion-dollar fraud against the state’s leading workers’ compensation provider. U.S. Attorney Booth Goodwin announced that Arville W. Sargent, 52, of Chapmanville; Jerome Eddie Russell, 50, of Williamson; Frelin Workman, 58, of Belfry, Ky.; Randy Workman, 36, of Belfry, Ky.; and Arthur J. White, Jr., 60, of Lenore; pleaded guilty this week, Tuesday, Wednesday and Thursday, to frauding BrickStreet Mutual Insurance Company. Sargent, previously employed by Brickstreet, pleaded guilty to honest services mail fraud and tax evasion. Sargent admitted that, from its inception in January 2006 until at least Feb. 1, 2011, he led a scheme to defraud BrickStreet by allowing certain policyholders operating in the coal mining industry to drastically underreport their payroll during annual field audits he conducted on behalf of BrickStreet for the intended purpose of confirming those policyholders were pay

Categories Technology

Tags black hawk mining fraud watch

More Details »