Afton businessman sentenced to 60 days for workers' comp, welfare fraud

NORWICH – An Afton business owner who was convicted of collecting $60,000 in workers’ compensation benefits he was not entitled to over a 13 year time span was sentenced to 60 days in jail Monday.

Chenango County Court Judge W. Howard Sullivan also ordered 60-year-old Edward Panus, owner of an Afton fish hatchery, to repay $4,500 in restitution to the New York State Insurance Fund.

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“Mr. Panus was convicted of ripping off the taxpayers of Chenango County in two separate cases; one for fraudulently receiving workers’ comp by providing false information and two, receiving welfare benefits he was not entitled too,” said District Attorney Joseph McBride. “The word needs to get out, if you rip off the taxpayers of Chenango County you will go to jail.”

Panus’ arrest came after a six-month investigation by the New York State Insurance Frauds Bureau and the New York State Police in Sidney.

Panus was originally arrested by police and charged with 14 felonies involving fraud, with each count carrying a possible four year prison sentence.

McBride said Panus submitted false information to the New York State Insurance Fund so he could continue receiving compensation benefits while opening his own business called Ponderosa Fish Farms, in 1996.

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