Ky. Councilman Pleads Guilty in Workers’ Comp Scheme

Danny W. Miller, a Central City, Ky. Councilman, has pleaded guilty to bilking the federal government out of more than $100,000 in workers’ compensation benefits during a four-year period.

Miller appeared in the Owensburg U.S. District Court and pled guilty to filing false statements, faxing a false benefits statement and using a fake U.S. Department of Labor seal.

According to the Henderson, Ky. Gleaner, sentencing is scheduled for Dec. 19. Federal prosecutors have promised to ask for less than the maximum of 40 years in prison in exchange for Miller’s guilty plea. Under the terms of the plea, Miller will be required to pay $107,693 in restitution.

Miller admitted that from 2000 to 2004, he told the U.S. Department of Labor he was not employed. During that time, he was running Miller’s Independent Safety, a consulting business.

In 2004, Miller faxed an outdated benefits statement to a bank as part of a loan application. Miller also used a forged seal of the U.S. Department of Labor on a fake press release between January 2003 and November 2004, according to court records.

Miller was elected to the Central City Council in 2002, amid some controversy over his record. In 1997, he pled guilty to theft and insurance fraud and received a one-year suspended sentence, two years’ probation and was ordered to pay $6,600 in restitution. Gov. Paul Patton later restored his rights.