LIRR executive Fredreick Kreuder became the first person charged in relation to the LIRR Disabilty Benefits Scandal. Photo courtesy of the New York Daily News
As my daily readers would know, I have done my best to keep up with the LIRR disability benefits scandal. The scandal which comes from allegations that many now retired former LIRR employees milked the system for disability benefits with the help of doctors & other fellow retirees. I am thankful to see that we have our first casualty as LIRR Executive Frederick Kreuder was arraigned yesterday in Queens Criminal Court on felony and misdemeanor misconduct charges relating to this case. Nicole Bode & Bill Hutchinson of the New York Daily News have more in this report:
A Long Island Rail Road executive has been busted for masterminding “systematic abuse” that helped colleagues bilk the federal government out of disability benefits.
Frederick Kreuder, the railroad’s manager for budget development analysis, was arraigned today in Queens Criminal Court on felony and misdemeanor misconduct charges stemming from an elaborate scam.
Kreuder, 49, assigned to the LIRR’s Hollis, Queens, office, is accused of accepting money in exchange for helping retiring employees cheat the government out of thousands of dollars in disability payments.
State Attorney General Andrew Cuomo said Kreuder’s arrest represented the “first time that someone is being held accountable for the culture of entitlement and systemic abuse that plagued the LIRR and Railroad Retirement Board.”
For an under-the-table fee, Kreuder allegedly helped LIRR employees fill out bogus paperwork and directed them to doctors who supplied supporting documents to pilfer the system of disability income, officials said.
Cuomo said Kreuder’s arrest could be just the tip of the iceberg in a growing probe into malfeasance at the LIRR.
Click here for the complete report.
I will keep my thoughts short as I am dealing with a pounding headache. I am really glad to see the first of what I can only hope will be many casualties. The people who participated in this scam should face the stiffest punishment possible under our current laws. Anything less would be a complete & unacceptable disservice.
xoxo Transit Blogger