‘Godfather’ gets 54 years in $150 million California workers’ comp scheme

A man, who Riverside County Superior Court records say called himself “The Godfather,” was ordered to serve 54 years in state prison and pay $23 million in fines for masterminding a criminal organization that attempted to bilk the state out of $150 million in a workers’ compensation fraud, the District Attorney’s Office said on Monday, April 15.

Judge Charles J. Koosed sentenced Peyman Heidary, 53, on Friday, April 12, after his January conviction on 68 counts of insurance fraud, money laundering, conspiracy and other crimes, including falsely advertising himself as a lawyer.

Koosed said Heidary had a deep knowledge of workers’ compensation.

A health clinic run by Peyman Heidary in Riverside was vacated in Aug. 2014 after he was charged with insurance fraud. Heidary was sentenced to 54 years in state prison after his conviction on 68 criminal counts related to a $150 million scheme. (Brian Rokos, The Press-Enterprise/SCNG) 

Heidary, a chiropractor, operated sham law firms and medical clinics in Riverside, Orange and Los Angeles counties.

From 2009 to 2014 Heidary used his law firm to recruit legitimately injured people and exaggerated their injuries. He ordered his employees to provide unnecessary treatments that resulted in inflated billings to insurance companies, the DA’s Office said.

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