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CA Department of Insurance

City of Los Angeles employee arrested for grand theft

News: 2014 Press Release

For Release: June 10, 2014
Media Calls Only: 916-492-3566
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City of Los Angeles employee arrested for grand theft

LOS ANGELES, Calif. - Kelvin Piazza, 51, of Lakewood was arrested on suspicion of grand theft and filing a fraudulent insurance claim. The fraudulent claim was allegedly associated with a non-industrial injury in July 2010 during his employment as a wastewater collector for the city of Los Angeles, Sanitation Department.

"It is the responsibility of each individual to uphold the honesty and integrity of the workers' compensation system by reporting any change of work status to their disability insurer; to not do so is not only a drain on the system but it is insurance fraud," said Commissioner Dave Jones.

Piazza was arrested as a result of a criminal investigation involving his disability insurance claim. The investigation revealed that Piazza returned to work full time in June 2011 and failed to notify Standard Insurance Company of his change of employment status and continued to receive and cash disability checks between June 6, 2011 and October 18, 2011 totaling $13,746.

This case is being prosecuted by the Los Angeles County District Attorney's office. If convicted Piazza faces a maximum of five years in state prison. He is currently being held on $50,000 bail.

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Media Notes:

  • Booking photo available.
  • Wastewater collector for the city of Los Angeles, Sanitation Department.
  • Section code violations - five counts of PC 550 (b)(3), and one count of PC 487 (a).

The California Department of Insurance, established in 1868, is the largest consumer protection agency in California. Insurers collect $310 billion in premiums annually in California. Since 2011 the California Department of Insurance received more than 1,000,000 calls from consumers and helped recover over $469 million in claims and premiums. Please visit the Department of Insurance website at Non-media inquiries should be directed to the Consumer Hotline at 800.927.4357. Telecommunications Devices for the Deaf (TDD), please dial 800.482.4833.

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