Court Orders Employer to Repay $104K to Texas Mutual

Texas Mutual Insurance Company announced today that a Travis County district court sentenced Cheryl Bussey of Mansfield, Texas on workers’ compensation fraud-related charges. The court sentenced Bussey to 10 years’ deferred adjudication and ordered to her repay $103,851 to Texas Mutual.

Bussey was the owner of Trans X Corp, a temporary employment agency in Arlington, Texas. Bussey was involved in a scheme to conceal the number of employees and annual payroll of Trans X Corp from Texas Mutual.

Because workers’ compensation insurance premium is based in part on payroll, such a scheme results in a business paying less premium than it actually owes. By paying less premium, an employer can gain an unfair advantage over competitors.

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