http://govexec.com/dailyfed/0107/010407m1.htm?rss=getodaySocial Security employees face $3.8 million in work-related fines
By Jenny Mandel
jmandel@govexec.com
Four Social Security Administration employees have been informed of
proposed fines of as much as $3.5 million for actions taken in the
course of their duties reviewing disability claims, according to a
grievance filed by a federal employee union.
Officials with the National Treasury Employees Union, which is
representing three of the four employees in legal proceedings, said
Thursday that the three attorneys and a supervisor have been told
they face suggested penalties of $5,000 per violation for cases in
which they allegedly used expert testimony improperly to help justify
benefits decisions. The employees cited the testimony at the
direction of an administrative law judge, union officials said.
This amounts to potential fines of between $100,000 and $215,000 each
for the attorneys; the supervisor, who was involved with more than
700 cases, has been informed of a proposed fine of more than $3.5
million. SSA's inspector general office, which union officials said
has been investigating the matter for more than four years, proposed
the penalties.
According to NTEU President Colleen Kelley, the alleged "material
misstatements" stem from the employees' repeated use of testimony by
a single expert who answered a series of general questions in a
single case to assist in determining benefits eligibility. Those
statements were then applied to later cases at the judge's direction,
Kelley said. That practice was taught in official training sessions
and commonly used within the Office of Disability Adjudication and
Review where the attorneys worked, she said.
Describing the fines as absurd, Kelley said the federal employees'
actions should be legally protected in at least two ways: first,
through the immunity that shields federal employees from personal
liability for actions taken in the course of official duties; and
second, through a quasi-judicial immunity that covers judges and
those working with them. The immunity is designed to protect the
independence of the judicial process.
"To challenge a judge's evidentiary technique has far-ranging
ramifications for not only this agency but for other agencies where
you have employees doing similar things," said Robert Shriver, NTEU's
assistant counsel.
Kelley said the inspector general's office has reviewed the
approximately 700 cases in question, and stressed that the disability
determination was not found to have been improper in any of them.
Jonathan Lasher, a deputy chief counsel for the IG's office, said he
could not confirm or deny the existence of any case against an
individual because of Privacy Act restrictions. But he took issue
with a statement by Kelley that SSA has never before used Section
1129 of the Social Security Act, which covers factual misstatements
that affect benefits decisions, against agency employees. Lasher said
employees have been fined before under that section, and emphasized
that it applies to "wrongful acts."
"If we received information suggesting that a particular SSA policy
or practice was inefficient, was unfair, wasted money, any number of
things, that would generally be looked at by the
Office of
Audit," he said. "Those generally would not include an allegation of
wrongful or even criminal activity. more in the
program improvement realm."
The IG's Office of Inspection handled this case.
The IG has to date formally assessed a penalty of $215,000 against
one attorney, who has retained private legal help but is also working
with the union. In the other three cases, the employees have
submitted financial statements to the IG office and are awaiting
finalization of the penalties.
The employees will be able to request hearings before an
administrative law judge, and either side can appeal that decision to
a departmental appeals board, the Social Security Commissioner and
ultimately the U.S. Court of Appeals, NTEU officials said.
The union has also written to SSA Commissioner Jo Anne Barnhart
requesting that she throw out the penalties immediately.