Home > Fraud, News > The Real WC Frauds of Orange County

The Real WC Frauds of Orange County

Think back to all the lessons you learned when you had your own lemonade stand, and apply them to the following business model.  Step 1) defraud the State of California to the tune of $30 million; Step 2) get caught; Step 3) pay back a few million, give up $500,000 in jewels, plea to 10 years of probation; Step 4) Profit!

This is the approach taken by Devon Lynn Kile, who recently was convicted of running one of the larger California workers’ compensation fraud schemes, at least according to a few news sources, including ClaimsJournal and OCWeekly.

Kile, who, coincidentally, had previously applied to be one of the “Real Housewives of Orange County“, was convicted of 72 felony counts of variations of fraud, including the under-reporting of income and payroll.  As part of her plea deal, she will pay back $1.3 million to Employment Development Department, $1.5 million to the Franchise Tax Board, and some amount not yet determined to State Compensation Insurance Fund.

Kile was sentenced to ten years in prison, suspended for 10 years of probation.  If she is a model citizen, living off whatever remains of her ill-gotten goods, she will escape justice.

All-in-all, a profitable venture – your disappointed blogger applauds the Orange County District Attorney’s office for its investigation and prosecution of this case, but would have liked to see all the money returned before serving actual prison time was taken off the table.

Categories: Fraud, News
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