Pension fraud : PERAC's guide to understanding and preventing pension fraud

2007·0.35 MB·English

by  Massachusetts. Public Employee Retirement Administration Commission

UMASS/AMHERST
Ill
312066 0382 2822 0
V
J
1^
STEALING
PERAC'S Guide To Understanding
and Preventing Pension Fraud
PERAC
About the Fraud Prevention Unit
Chapter427 ofthe Acts of 1996 established the creation Commonwealth ofMassachusetts
ofa Fraud Prevention Unit within the Public Employee Public Employee Retirement
Retirement Administration Commission (PERAC).The Unit Administration Commission
has the powers and duties necessaryforthe prevention
and investigation offraudulent disability pension claims Five Middlesex Avenue
and payments.The unit is responsiblefordata collec- Suite 304
tion relating to all disability retirees, including earnings Somerville, MA 02145
statements, registry information, criminal offender record ph 617 6664446
information, retirement board records and other relevant fax [phone]
information. tty 617 591 8917
web www.mass.gov/perac
Any person orentity paying disability benefitsto any
public employeethat has reason to believethat a disabil- Fraud Hotline:[phone]
ity pension claim or payment may be fraudulent or has
knowledgethat a fraudulent disability pension claim or ForadditionalcopiesofthePERAC2007FraudAwareness
payment is about to take place or hastaken place, should PosterorReferralReportofPotentialFraudformsplease
promptly notifythe Unit.The Unitwill review each such contactthePERACFraudUnit.
report and undertake such further investigation as it
deems necessary and properto determinethe validityof
thetransaction.Thetelephone numberto calltomake
sucha report is1-800-445-3266.
Depending on the outcome ofany investigation,the
Commission may refer matterstothe AttorneyGeneral,
the appropriate District Attorney orthe United States
Attorney.
CALL the PERAC Fraud Prevention Unit
1-800-445-3266
All information is confidential.
PublicEmployeeRetirementAdministrationCommission
REFERRAL REPORT OF POTENTIAL FRAUD
buojeci or neterroi
NAME (LAST, FIRST, MIDDLE INITIAL) S.SJ (IF AVAILABLE)
STREET ADDRESS PHONE # (IF AVAILABLE)
CITY/TOWN STATE ZIP RETIREMENT BOARD OF RETIREE
Allegation
Please give a briefdescription ofthe allegation.
Optional
Ifwe need more information, may we contact you?
NAME (LAST, FIRST, MIDDLE INITIAL) PHONE #
STREET ADDRESS CITY/TOWN STATE ZIP
Ifyou prefer to make a report by telephone, please call the PERAC Pension Fraud Hotline
at 1-800-445-3266.
For PERAC Use Only
RECEIVED BY DATE
Commonwealth ofMassachusetts Public EmployeeRetirementAdministration Commission
|
FiveMiddlesexAvenue,Third Floor,Somerville,MA02145
ph6176664446 fax[phone] fty617591 8917 webwww.mass.gov/perac
j | |
F
CALL the PERAC Fraud Prevention Unit
1-800-445-3266
All information is confidential.
Public Employee Retirement Administration Commission
Digitized by tlie Internet Archive
2015
in
https://archive.org/details/pensionfraudperaOOnnass

Preventing Pension Fraud
The Public Employee Retirement Administration to file anAnnualStatementofEarnedIncome with PERAC
Commission (PERAC) was created forand is dedicated on or before April 15th ofeach year, certifying the
tothe oversight, guidance, monitoring, and regula- amount, ifany, of his/her earnings from earned income
tion ofthe Massachusetts public pension systems.The during the preceding year. Disability Retirees who do not
Commission's efforts are focused on the identification report or under-report earned income will be investi-
and prevention ofpublic pension fraud. Fraud can be gated forfraud.
defined as"deception deliberately practiced in orderto
secure unfairor unlawful gain." RetireesWorking in Excessofthe Limitations in the
Massachusetts Public Sector
Public pensionfraud fails iargelyintofour Pursuantto G.L. c. 32, § 91(b) a retiree (accidental,
categories: ordinary, or superannuation) can be employed in the ser-
vice ofthe commonwealth, county, city, town, district or
Submission of Falsified Records authorityfor not morethan nine hundred and sixty hours
Anyone who knowingly submitsfalsified records to a in the aggregate, in any calendaryear; provided that
public employee retirement board or PERAC forthe pur- the earnings therefrom, when added to any pension or
poseofgaining benefits will be investigated forfraud. retirement allowance he/she is receiving, do not exceed
Such records may include, but are not limited to, falsified the salarythat is being paid forthe position from which
birth certificates, marriage certificates, adoption records, he/she was retired. Retirees who fail to report their status
divorce decrees, medical records, and accident reports. as public retireesto prospective public employers will be
investigated forfraud.
Submission ofFalsified Affidavits
Each year, every public pension retiree and the surviving Referral ReportofPotential Fraud
beneficiaries ofsuch deceased retirees, receive affidavits Ifyou have reason to believe that public pension fraud
from their retirement board.The purpose ofthis affida- may have occurred or is aboutto occur, please promptly
vit istoverifythatthe retiree/beneficiary is living and notify PERAC's Fraud Unit.The Unit will review each such
to update other key information such as his/hercurrent report and undertake such further investigation as it
address. Confirmation ofa beneficiary's dependency deems necessary and properto determine the validity of
status is also sought where it is relevant to continued thetransaction.You may reach the Fraud Unit at 1-800-
receipt ofbenefits. Any retiree/beneficiarywho know- 445-3266. You mayalso file a written ReferralReportof
ingly makesfalse responses on this affidavit will be inves- PotentialFraudwith the Unit (PERAC, 5 Middlesex Ave.,
tigated forfraud. Anyone who signs an affidavit who Suite 304, Somerville, MA 02145). Copies ofthe referral
is otherthan the retiree, his/her beneficiary, oran indi- report form may be obtained from PERAC, the PERAC
vidual with a valid power ofattorneywill be investigated Web site(www.mass.gov/perac) orany public employee
forfraud. retirement board in the Commonwealth.
Disability RetireesWorking in Excessofthe
Limitations in the Private Sector
G.Lc.32, § 91A provides that ifthe amount ofa disability
retiree's annual retirement allowance, when added
to his/her post retirement earnings, is in excess ofthe
regular compensation the retiree would have received if
he/she continued in service atthe grade held at retire-
ment plus $5,000, his/her retirement allowance may be
reduced or suspended. Each disability retiree is required
Public EmplayEE RetirEmEnt Administratian Commissian
Five MiddlesexAvenue, Suite304, Somerville, MA02145
ph 617 6664446 fax[phone] ffy617 591 8917 webwww.mass.gov/perac
| | |
Pension Fraud Hotline:[phone]