In other neighboring news:

Another investigation by the Texas Tribune, this time in partnership with the Austin American-Statesman, uncovers what it calls a “classic conflict of interest” in a fee arrangement between Travis County and Texas Mutual Insurance Company (the state’s largest provider of workers’ comp). The crux of the arrangement is a contract that Texas Mutual signed in which it is responsible for the salaries of two assistant district attorneys and three support personnel, to the tune of $430,266 in 2007. The investigative series asserts that, because one of the stated “services” provided by DA’s office in return for Texas Mutual’s fee is to “investigate and prosecute when warranted any…crimes committed against the company,” that the DA is being “paid to prosecute.” The report uses the case of a claimant pursued for fraud by Texas Mutual in Travis County to illustrate the system. Subsequent coverage of the series from WorkCompCentral notes that levying assessments against insurers en masse for fraud prosecutions is not uncommon practice, but that the direct contract between the two entities, public and private, is unique.

Read the series via The Texas Tribune here. Read further coverage from WorkCompCentral (paid content) here.

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