LD 943
pg. 1
LD 943 Title Page An Act To Discourage Abuse and Fraud under the Workers' Compensation Laws Page 2 of 2
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LR 1066
Item 1

 
Be it enacted by the People of the State of Maine as follows:

 
Sec. 1. 39-A MRSA §153, sub-§5, ķA-1 is enacted to read:

 
A-1.__The board shall appoint one permanent hearing
officer to the abuse investigation unit to hear complaints
or allegations brought under section 360 of willful
violations of this Act, fraud or intentional
misrepresentation.

 
Sec. 2. 39-A MRSA §205, sub-§6, as enacted by PL 1991, c. 885, Pt.
A, §8 and affected by §§9 to 11, is amended to read:

 
6. Interest. When weekly compensation is paid pursuant to
an award, interest on the compensation must be paid at the
rate of 10% 15% per annum from the date each payment was due,
until paid.

 
Sec. 3. 39-A MRSA §360, sub-§2, as enacted by PL 1991, c. 885, Pt.
A, §8 and affected by §§9 to 11, is amended to read:

 
2. General authority. The board may assess, after hearing,
a civil penalty in an amount not to exceed $1,000 $1,500 for
an individual and $10,000 $15,000 for a corporation,
partnership or other legal entity for any willful violation of
this Act, fraud or intentional misrepresentation. The board
may also require that person to repay any compensation
received through a violation of this Act, fraud or intentional
misrepresentation or to pay any compensation withheld through
a violation of this Act, fraud or misrepresentation, with
interest at the rate of 10% per year.

 
Sec. 4. Review by Department of the Attorney General. The Department of
the Attorney General shall conduct a review of the insurers in
the State writing workers' compensation insurance to determine
compliance with the Maine Revised Statutes, Title 39-A,
section 205, subsection 6 requiring that insurers pay interest
on weekly compensation that is paid pursuant to an award. In
furtherance of Title 39-A, section 153, subsection 5,
paragraph E the Department of the Attorney General shall work
in concert with the abuse investigation unit of the Workers'
Compensation Board to identify insurance companies that
willfully fail to comply with the requirements of Title 39-A
and the rules adopted thereunder. Upon completion of its
review, the Attorney General shall initiate any appropriate
action, including civil actions for recovery of funds or
criminal prosecution.

 
SUMMARY

 
This bill accomplishes the following:


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