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NYC jail workers arrested for fraud amid surge in injury payouts
By
Charles Lane
Published May 20, 2025
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By
Charles Lane
Published May 20, 2025
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City watchdogs raised alarms Monday over skyrocketing injury claims by jail workers and announced the arrests of three correction officers accused of faking injuries to collect payouts.
New York City paid more than $1 billion in workers' compensation claims to Department of Correction employees over the past three fiscal years, according to a new report from the Department of Investigation. All other mayoral agencies paid roughly $600 million combined during that same period.
“New York City’s expenditures on Workers’ Compensation payments have increased by hundreds of millions of dollars over the past decade, largely driven by the DOC employees’ increased claims,” DOI Commissioner Jocelyn Strauber said in a statement.
The report found workers' compensation expenses at the correction department have climbed 337% since fiscal year 2015, from about $78 million to more than $340 million in fiscal year 2024. Other city agencies recorded an increase of just 65% in that time, from about $135 million to $223 million.
Meanwhile, federal prosecutors in Manhattan charged one current and two former city correction officers, Todd Faustin, 43, Jovanny Concepcion, 33, and Steven Murphy, 31, with health care fraud, mail fraud and making false statements for allegedly lying about injuries stemming from encounters with incarcerated people.
According to court papers, the three collected a total of nearly $1 million in bogus injury claims. They each face up to 20 years in prison if convicted of health care or mail fraud.
The officers' attorneys were not immediately listed in court records.
While the Department of Investigation report did not detail the types of injuries on the rise, investigators pointed to "schedule loss of use" claims, which allow workers to receive lump-sum payouts for partial permanent injuries while continuing to work. Many of these claims involve soft-tissue injuries and do not require any missed work.
The Department of Correction said the number of injury claims dropped 21% last year and that it was reviewing DOI’s recommendations. Those include creating a new director of workplace safety role and updating outdated protocols for filing claims.
“The NYC Department of Correction does not tolerate corruption, and we will work closely with partners in law enforcement to root out abuse of workers’ compensation and ensure that fraud is investigated and — if proven — punished,” correction spokesperson Patrick Gallahue said.
The Correction Officers’ Benevolent Association union said the report highlights the rise in injuries sustained by jail staff.
“When officers are injured by assaults or breaking up inmate fights, many emerge with broken noses, broken orbitals, stab wounds, fractures and severe sprains,” COBA President Benny Boscio said in a statement. “Many also sustain reinjuries as a result of being rushed back to work too soon.”
He said the three arrested officers represented only a small fraction of the correctional workforce and it was misleading to include their cases in the report.
The arrests and findings come as city jails face federal scrutiny. Watchdogs and legal advocates have long criticized jail staff for physical and sexual violence against people incarcerated on Rikers Island. Just last week, a federal judge gave an outside monitor power to discipline jail staff, among other powers. According to the job description, the new overseer is also tasked with improving trust with correction officers.
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new york city
Rikers Island
public safety
economy
Charles Lane
Charles is a Day-of reporter focused on breaking news and enterprise. He’s very friendly and can be reached at [email protected], or more securely on whatsapp/signal 631-295-6715
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Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
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