Woman pleads guilty to $5.9 million Comp Fraud Scheme

A Tennessee woman has pleaded guilty to conspiracy in a $5.9 million workers compensation scheme that involved collecting premiums for nonexistent comp policies.

Andrea Rudd faces up to five years in prison and a fine of $250,000, according to the plea agreement filed earlier this month in the United States District Court for the Eastern District of Tennessee in Knoxville. Ms. Rudd also pleaded guilty to one count of tax evasion totaling $10.4 million, which carries the same potential sentence.

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