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Spokane, Washington  Est. May 19, 1883

Man Loses Appeal Of Fraud Conviction

From Staff Reports

A Spokane man accused of fraudulently receiving $178,000 in workers’ compensation checks has lost an appeal before a state board.

Gary M. Materne, 53, drove trucks and repossessed autos during the 11 years he claimed a back injury kept him from working, according to the Washington Department of Labor and Industries.

Last December, the state Board of Industrial Insurance Appeals upheld a March 1995 order demanding Materne repay the $178,000 and pay an $89,000 penalty.

It ranks as one of the biggest workers’ compensation fraud cases in state history, said Steve Valandra, Labor and Industry spokesman.

An anonymous tip led to an investigation that found Materne collected benefits from a claim filed in 1982, when he was employed by a Spokane trucking company, Valandra said.

Materne also filed workers’ compensation claims in Oregon and California, collecting benefits under the name Gary Porter.

Before his payments were cut off, Materne received $1,629 per month, Valandra said.

Materne has until mid-February to appeal to Superior Court.

Neither Materne nor his attorney could be reached for comment.

, DataTimes