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Indictment: South Tahoe man skiing and collecting workers’ comp benefits


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A federal grand jury returned an 11-count indictment today against South Lake Tahoe resident Mark E. Leung. The 58-year-old is accused of wire fraud, mail fraud, and making a false statement to obtain federal workers’ compensation.

Leung worked for the U.S. Postal Service until 1987. At that time he claimed he sustained a work-related injury. He never returned to full-time employment with the Postal Service and began receiving workers’ compensation benefits.

From September 2007 through November 2012, Leung received approximately $160,000 from the Department of Labor. To obtain the benefits, Leung submitted an annual certification form and also had his medical providers attest that he could not perform any work due to the pain he suffered that limited his mobility and range of movement.

But he was mobile enough to ski.

According to U.S. Attorney Benjamin B. Wagner, Leung has a season pass at Heavenly Mountain Resort and regularly skis 40 days a season.

“Moreover, Leung was as also observed performing arduous physical labor on numerous days,” according to a press release from the U.S. Attorneys Office.

If convicted of the 11 counts, Leung faces a maximum statutory penalty of 20 years in prison and a $250,000 fine.

— Lake Tahoe News staff report

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Comments (13)
  1. Dogula says - Posted: December 6, 2012

    I’d be curious exactly what the limitations are. There are SO many people collecting disability AND working and playing hard all at the same time.
    I suspect at least half the people getting disability are capable of working. They just don’t want to.

  2. Careaboutthecommunity says - Posted: December 6, 2012

    And if we sent him to prison; which could be the right thing to do, we will spend even more money on him.

  3. Dogula says - Posted: December 6, 2012

    Naaah. Just make him go back to work, wear an ankle bracelet so it’s only work or home, till he pays the money back plus his fine.
    This is all too common. Gotta put a stop to it somehow.

  4. X LOCAL says - Posted: December 7, 2012

    There are more Police and Firemen and Hwy patrol men on disability than than any other profession, I know of several that have retired with full benefits from the City of South Lake Tahoe. This is the biggest crime that there is, and know one follows up on them after they are gone. Sad but true. Nice to be able to retire at 50 with full benefits and have it be TAX FREE.

  5. Atomic says - Posted: December 7, 2012

    Dogula is right, tag him, make him pay it off. One provision, it cannot be a government job, he cannot go back to the trough.

  6. Marlene says - Posted: December 7, 2012

    This fraud is so rampant! I wonder also, how much money was spent tracking this mans activity. Alas, another tax-money wasting bureaucracy – were sunk!

  7. Lovinlaketahoe says - Posted: December 7, 2012

    Sorry Dogula, I disagree with sending him back to work as he will simply “hurt” himself again and continue to collect.
    I worked for a large company that had the same people “hurt” themselves once their short term benes ran out. They would go back to work and the next day – opps.
    It is a crime and he should be punished. Maybe it will send a message… But then again, the “hurt” people are not reading this, they are out skiing:(

  8. Boone6651 says - Posted: December 7, 2012

    Well it’s good to see they’ve caught one out of millions using the gravy bowl system we have in place. Yeah, one down, 999,999 to go. It’s ok though, raise taxes on the rich because we need more money to pay for these folks. Add more money to the waste pool rather than fixing the pool. Smart.

  9. Aaron says - Posted: December 7, 2012

    If you send him to prison, he will come out claiming he now suffers from being institutionalized, and whammo, then he’ll collect disability for life.

    The thing about Tahoe is that the criminals are so closely connected here that they all share the tricks of the trade.

  10. Linda says - Posted: December 7, 2012

    Read an article yesterday about a well educated man who beat and kicked some guy at Stateline because “he looked like he wanted to fight”, continued kicking him in the head while the guy was unconscious, so seriously injuring him that he’s had 4 surgeries and not yet recovered, maybe never will be. He got no jail time and a smaller fine. Can’t see the fairness but guess if you’re gonna commit a crime don’t do it against the federal government.

  11. farkworth says - Posted: December 7, 2012

    Would be very interested in KNOWING the name of the Dr. who certified

  12. HangsUpsFromWayBack says - Posted: December 7, 2012

    WELL HE’S GOT ONE THING RIGHT……..THERE’S NO WORK IN SOUTH LAKE TAHOE.

    MAN THE STREETS ARE SO EMPTY IT’S SCARY AND THIS SUPPOSE TO BR THE HAPPY HOLIDAYS .

    MAYBE SOMEONE WILL SET UP A LEMONADE STAND WITH GOOD SHOTS VODKA FOR THE NEW YEARS SCENE…..
    IF THE WEATHER KEEPS UP SO NICE,THERE BE PEOPLE IN THE STREETS FOR AT LEAST 6 HOURS.

  13. Dan Murray says - Posted: December 7, 2012

    All that will happen in this case is that Mr Leung’s benefits will be terminated, he will be required to resign from his postal job. He will also be ordered to pay restitution, but good luck getting much back on that unless he has some tangible assets. Oh, he’ll also get some term of probation, but no jail time, the USPS rarely prosecutes a case that far.

    To add insult to injury, at age 58 he might just be eligible for a government pension which he will receive since he did pay into that. His time on workman’s comp won’t count toward retirement, but he can still possibly get a reduced pension.