Three more TTC employees dismissed over benefits irregularities
January 29, 2016
Three additional TTC employees have been dismissed as part of an ongoing internal investigation into an alleged benefits fraud that is also the focus of a continuing criminal investigation by the Toronto Police Service, bringing the total number of dismissed employees in this matter to eight.
The TTC began its internal investigation of potential employee involvement last July after police laid criminal charges against the owner of Healthy Fit, a health care products and service provider that some TTC employees frequented.
It is alleged that receipts were provided to employees by Healthy Fit for claim reimbursement where no product or service was obtained, or where receipt amounts were inflated. It is further alleged that Healthy Fit and the person making the improper or fraudulent claim would then share the money paid out by the TTC’s insurer, Manulife Financial.
The TTC’s investigation includes employee interviews with those who filed benefits claims involving Healthy Fit. The TTC said last fall that it anticipates more employees will face dismissal; to ensure transparency and openness of this serious matter, the TTC will continue to publicly state when employee dismissals or other significant developments occur.
Criminal charges have not been laid against any TTC employee at this time. And while the TTC has insurance to protect itself against financial loss due to benefits fraud, restitution will be sought from anyone who knowingly made an improper claim against the TTC’s benefits plan.
Manulife Financial has committed to further enhance and strengthen its fraud detection and prevention programs, which the TTC welcomes. The TTC’s own “Integrity Line,” launched two years ago, has proven helpful in rooting out alleged wrongdoing within the organization, and was the first to shed light on this alleged benefits fraud.
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