The United States Attorney for the Southern District of New York, Jay Clayton, along with Jocelyn E. Strauber, Commissioner of the New York City Department of Investigation (DOI), and Lucy Lang, Inspector General for the State of New York, announced the unsealing of indictments against three correction officers from Rikers Island. The officers are charged with healthcare fraud, mail fraud, and making false statements related to healthcare matters.
The accused individuals are Todd Faustin, Jovanny Concepcion, and Steven Murphy. They were arrested earlier today and appeared before U.S. Magistrate Judge Robert W. Lehrburger. Their cases will be overseen by U.S. District Judges Loretta A. Preska and Lewis J. Liman.
U.S. Attorney Jay Clayton stated: “As alleged, the defendants defrauded New Yorkers by making hundreds of thousands of dollars in fraudulent workers compensation claims.” He emphasized his office's commitment to protecting New Yorkers from corruption at Rikers Island.
DOI Commissioner Jocelyn E. Strauber highlighted that these actions defrauded nearly $1 million through false claims about injuries: “New York City’s workers’ compensation system is a vital resource for City employees injured on the job.” She mentioned that DOI recommends reforms to prevent future frauds.
Lucy Lang expressed concerns over public trust in government integrity: "Lying about an ongoing injury to get workers’ compensation benefits while engaging in strenuous employment and activities...is an affront to the honest workers whom the system is built to protect."
According to allegations in the indictments, Faustin, Concepcion, and Murphy engaged in a scheme where they falsely claimed injuries during incidents at Rikers Island involving force with incarcerated individuals. This resulted in substantial wrongful benefits; Faustin allegedly received $469,705.39; Concepcion received $232,427.97; Murphy received $294,037.83.
Each defendant faces charges carrying significant potential prison sentences: one count each of healthcare fraud and mail fraud (maximum 20 years each) and one count of making false statements related to healthcare matters (maximum five years).
Jay Clayton commended various investigative bodies including DOI and other law enforcement agencies for their work on this case.
Assistant U.S. Attorneys Kaiya Arroyo, Frank Balsamello, and Alexie Rothman will handle prosecution from the Civil Rights Unit in the Criminal Division and Public Corruption Unit.
The charges remain accusations until proven otherwise as defendants are presumed innocent unless proven guilty.