The claimant testified that exercise was limited to physical-therapy restrictions and reported to treating providers and the independent medical examiner that he could not work out and had difficulty walking. Surveillance showed a markedly different level of activity: the claimant walked several city blocks to a gym, loaded multiple 45-pound plates onto a leg-press machine, and performed deadlifts and chest presses well beyond the weight limits described in testimony.
Lois Law Firm Associate Chris Xyloportas and Paralegal Chrystalla Karamanis disclosed the surveillance, raised Workers’ Compensation Law § 114-a, and developed the fraud record. The New York Workers’ Compensation Law Judge imposed the mandatory penalty, but the LOIS team concluded that the seriousness of the misrepresentations warranted stronger relief and pursued administrative review.
The Board Panel found that the claimant’s testimony and reports to physicians were materially inconsistent with the surveillance and sufficiently egregious to justify permanent disqualification from future indemnity benefits in the claim. The outcome demonstrates why effective defense practice does not stop at obtaining some relief; it requires evaluating whether the penalty adequately addresses the conduct and the client’s future exposure.
