United States Department of Labor 

Employees’ Compensation Appeals Board 

__________________________________________ 

R.C., Appellant 

and 

U.S. POSTAL SERVICE, POST OFFICE, 

Fredericksburg, VA, Employer 

__________________________________________ 

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Docket No. 17-0280 

Issued: May 5, 2017 

Appearances: Case Submitted on the Record

Appellant, pro se 

Office of Solicitor, for the Director 

DECISION AND ORDER 

Before: 

CHRISTOPHER J. GODFREY, Chief Judge 

COLLEEN DUFFY KIKO, Judge 

VALERIE D. EVANS-HARRELL, Alternate Judge 

JURISDICTION 

On November 17, 2016 appellant filed a timely appeal from July 27 and October 26, 

2016 merit decisions of the Office of Workers’ Compensation Programs (OWCP) and a 

September 20, 2016 nonmerit decision. Pursuant to the Federal Employees’ Compensation Act1

(FECA) and 20 C.F.R. §§ 501.2(c) and 501.3, the Board has jurisdiction over the merits of this 

case. 

ISSUES 

The issues are: (1) whether OWCP properly denied his request for a hearing as untimely 

under 5 U.S.C. § 8124; and (2) whether OWCP properly terminated appellant’s wage-loss 

medical compensation effective May 22, 2015 as he forfeited his entitlement to compensation 

pursuant to 5 U.S.C. § 8148. 

 1

 5 U.S.C. § 8101 et seq. 
2

FACTUAL HISTORY 

On November 7, 2008 appellant, then a 42-year-old letter carrier, filed a traumatic injury 

claim (Form CA-1) alleging that on that date he experienced stiffness of his low back and neck 

after he was in a motor vehicle accident. OWCP accepted the claim for a sprain of the right 

shoulder and upper arm, lumbar sprain, and a right superior labral tear from anterior to posterior 

tear of the shoulder.2 

In an e-mail dated May 6, 2015, a special agent with the employing establishment’s 

Office of Inspector General advised that on April 10, 2015 appellant signed a plea agreement 

acknowledging that he made a false statement to obtain workers’ compensation in violation of 18 

U.S.C. § 1920. 

On May 21, 2015 the U.S. District Court for the Western Division of Virginia accepted 

the guilty plea to one count of making a false statement to obtain federal workers’ compensation. 

On September 9, 2015 appellant was sentenced to two years’ probation on September 9, 2015. A 

judge also ordered appellant to pay restitution and a fine. 

By decision dated July 27, 2016, OWCP determined that appellant had forfeited his 

entitlement to compensation effective May 22, 2015 as he had plead guilty to making a false 

statement to obtain benefits under FECA pursuant to section 8148 and thus was not entitled to 

receive further benefits. It noted that it would pay for any authorized medical treatment he 

received prior to July 27, 2016, but would pay no further medical treatment beyond that date. 

Compensation benefits, including schedule award benefits, were terminated effective 

May 22, 2015. 

By letter dated August 26, 2016 and postmarked August 29, 2016, appellant requested a 

review of the July 27, 2016 decision. He asserted that the employing establishment would not let 

him return to work because he was on medication. Appellant submitted two pages of an 

August 13, 2015 presentence investigative report recommending that he receive a “reduction for 

acceptance of responsibility.” 

In a decision dated September 20, 2016, OWCP denied appellant’s request for an oral 

hearing or review of the written record as untimely under section 8124. It considered the request 

within its discretion and determined that the matter could be equally well addressed through a 

request for reconsideration and submission of evidence. 

On October 7, 2016 appellant requested reconsideration. He related that his injury 

continued and that he could not resume work because he was on medication. Appellant noted 

that he plead guilty for the period January 2013 to January 2014. He submitted a page from his 

presentence investigative report indicating that he plead guilty. Appellant also submitted 

medical evidence. 

 2

 By decision dated December 22, 2008, OWCP denied appellant’s claim as the medical evidence was insufficient 

to show a condition causally related to the accepted work incident. On January 5, 2009 appellant requested an oral 

hearing. In a summary decision rendered at the hearing, an OWCP hearing representative reversed the 

December 22, 2008 decision and accepted the claim. 
3

By decision dated October 26, 2016, OWCP denied modification of its July 27, 2016 

decision. It found that the evidence appellant submitted was irrelevant to the underlying issue of 

whether he had been convicted of a violation relating to fraud in the receipt of FECA benefits. 

LEGAL PRECEDENT -- ISSUE 1 

Section 8124(b) of FECA provides that a claimant for compensation not satisfied with a 

decision of the Secretary is entitled, on request made within 30 days after the date of the issuance 

of the decision, to a hearing on his or her claim before a representative of the Secretary.3 Section 

10.615 of the federal regulations implementing this section of FECA provides that a claimant 

shall be afforded a choice of an oral hearing or a review of the written record.4 The request must 

be sent within 30 days (as determined by postmark or other carrier’s date marking) of the date of 

the decision for which a hearing is sought.5

 A claimant is entitled to a hearing or review of the 

written record as a matter of right if the request is filed within 30 days.6

While a claimant may not be entitled to a hearing or review of the written record as a 

matter of right if the request is untimely, OWCP has the discretionary authority to grant the 

request and must properly exercise such discretion.7

ANALYSIS -- ISSUE 1 

OWCP terminated appellant’s compensation under section 8148 in a decision dated 

July 27, 2016. He sought a hearing in correspondence postmarked August 29, 2016. As 

appellant’s request for a hearing was postmarked August 29, 2016, more than 30 days after 

OWCP issued its July 27, 2016 decision, he was not entitled to a hearing as a matter of right. 

OWCP has the discretionary power to grant a hearing or review of the written record 

when a claimant is not entitled to a hearing or review as a matter or right.8 It properly exercised 

its discretion by noting that it had considered the matter in relation to the issue involved and 

denied appellant’s request for a hearing as the case could be resolved by submitting additional 

evidence to OWCP with a reconsideration request. The Board has held that the only limitation 

on OWCP’s discretionary authority is reasonableness. An abuse of discretion is generally shown 

through proof of manifest error, clearly unreasonable exercise of judgment, or actions taken 

which are contrary to both logic and probable deduction from established facts.9

 

 3

 5 U.S.C. § 8124(b)(1). 

4

 20 C.F.R. § 10.615. 

5 Id. at § 10.616(a). 

6 See Leona B. Jacobs, 55 ECAB 753 (2004). 

7

 20 C.F.R. § 10.616(b); Federal (FECA) Procedure Manual, Part 2 -- Claims, Hearings and Reviews of the 

Written Record, Chapter 2.1601.4(a) (October 2011). 

8 Afegalai L. Boone, 53 ECAB 533 (2002). 

9 See André Thyratron, 54 ECAB 257 (2002). 
4

There is no evidence that OWCP committed any action in connection with its denial of 

appellant’s request for a hearing which could be found to be an abuse of discretion. 

Consequently, it properly denied his request for a hearing as untimely under section 8124. 

LEGAL PRECEDENT -- ISSUE 2 

Section 8148 of Title 5 of the United States Code, states, in part: 

“(a) Any individual convicted of a violation of section 1920 of Title 18 or any 

other [f]ederal or [s]tate criminal statute relating to fraud in the application for or 

a receipt of any benefit under [FECA], shall forfeit (as of the date of such 

conviction) any entitlement to any benefit such individual would otherwise be 

entitled to under [FECA] for any injury occurring on or before the date of such 

conviction. Such forfeiture shall be in addition to any action the Secretary may 

take under section 8106 or 8129.”10

Section 10.17 of the implementing federal regulations provides, as follows: 

“When a beneficiary either pleads guilty to or is found guilty on either [f]ederal or 

[s]tate criminal charges of defrauding the Federal Government in connection with 

a claim for benefits, the beneficiary’s entitlement to any further compensation 

benefits will terminate effective the date either the guilty plea is accepted or a 

verdict of guilty is returned after trial.”11 

OWCP procedures require that, to support termination or suspension of benefits under 

section 8148, the case record must contain a copy of the indictment or a formal accusation that 

the person has committed the crime; a copy of the plea agreement, if any; a copy of the 

document containing a guilty verdict; and/or a copy of the court’s docket sheet. Further, this 

evidence must establish: (1) the individual was convicted; and (2) the conviction is related to the 

claim for or receipt of benefits under FECA.12 The effective date of termination in fraud cases 

under section 8148(a) is the date of conviction, which is the date of the verdict or in cases of a 

plea agreement, the date the claimant made the plea in open court (not the date of sentencing or 

when the court papers were signed).13 Due to the nature of the termination involving fraud, no 

pretermination notice is required before issuing a final decision.14

 10 5 U.S.C. § 8148(a). 

11 20 C.F.R. § 10.17. 

12 Supra note 7, Part 2 -- Claims, Disallowances, Chapter 2.1400.17c(2) (February 2013); see also K.R., Docket 

No. 14-0434 (issued October 7, 2014). 

13 Id. at Chapter 2.1400.17(d) (February 2013). 

14 Id. at Chapter 2.1400.4(a)(6) (February 2013). 
5

ANALYSIS -- ISSUE 2 

The Board finds that OWCP properly terminated appellant’s compensation benefits based 

on his conviction in federal court under a statute relating to fraud in the application for or receipt 

of compensation benefits under FECA. On September 9, 2015 a judge with the U.S. District 

Court for the Western Division of Virginia accepted his guilty plea to one count of violating 18 

U.S.C. § 1920, making a false statement to obtain federal workers’ compensation benefits. 

Under section 8148 of FECA, a claimant who is convicted of fraud in obtaining compensation 

benefits under section 1920 or any other federal or state criminal statute relating to fraud in the 

application for or receipt of any benefit under FECA is permanently barred from receiving any 

compensation under FECA.15 The record contains evidence supporting that appellant was 

formally charged with one count of making a false statement to obtain workers’ compensation 

and also has copies of the plea agreement, and the court judgment. The Board finds that this 

evidence establishes that he was convicted of fraud in obtaining FECA compensation benefits.16 

OWCP procedures provide that the termination is effective on the date the guilty plea is made in 

open court.17 The Board thus finds that OWCP properly terminated appellant’s compensation 

benefits effective May 22, 2015.18

CONCLUSION 

The Board finds that OWCP properly terminated appellant’s compensation effective 

May 22, 2015 as he forfeited his entitlement to compensation pursuant to 5 U.S.C. § 8148. The 

Board further finds that OWCP properly denied his request for an oral hearing as untimely under 

5 U.S.C. § 8124. 

 15 5 U.S.C. § 8148(a); S.H., Docket No. 14-0421 (issued August 27, 2014). 

16 See supra note 12; see also D.B., Docket No. 16-0998 (issued September 6, 2016). 

17 See supra note 13. 

18 See John L. Hoss, Jr., 54 ECAB 239 (2002); Bob R. Gilley, 51 ECAB 377 (2000). 
6

ORDER 

IT IS HEREBY ORDERED THAT the October 26, September 20, and July 27, 2016 

decisions of the Office of Workers’ Compensation Programs are affirmed. 

Issued: May 5, 2017 

Washington, DC 

 

 Christopher J. Godfrey, Chief Judge 

 Employees’ Compensation Appeals Board 

 

 Colleen Duffy Kiko, Judge 

 Employees’ Compensation Appeals Board 

 

 Valerie D. Evans-Harrell, Alternate Judge 

 Employees’ Compensation Appeals Board