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Former KC Worker Admits Insurance Fraud

Posted: Oct 30, 2013 6:26 PM by The Associated Press
Updated: Oct 30, 2013 6:28 PM

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KANSAS CITY (AP) - A former Kansas City municipal court employee has pleaded guilty in a scheme to use an insurance member benefit program to illegally rack up tens of thousands of dollars in gift cards.

The U.S. attorney's office says 43-year-old Crystal Burgin-Woods admitted Wednesday that she made fraudulent submissions to the city's health insurance program on behalf of 383 employees. Those claims resulted in the issuance of 939 gift cards worth nearly $186,000.

The fraudulent submissions included claims that a 3-year-old child had completed four triathlons, three marathons, two duathlons and three half marathons.

Five other employees also have pleaded guilty in the scheme. Each of the defendants face up to 20 years in federal prison without parole, plus a fine up to $250,000.

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