February 2, 2008...3:42 am

Man Defrauds 9/11 Compensation Fund

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An East Windsor man yesterday admitted defrauding the September 11 Victim Compensation Fund of more than $1 million by claiming he was permanently disabled in the 9/11 attacks.

Mario Mastellone, 41, pleaded guilty in federal court in New York to one count of illegally obtaining public money. He faces up to 10 years in prison when U.S. District Judge Victor Marrero sentences him May 16. He remains free on $600,000 bail.

Mastellone admitted receiving almost $1.08 million from the U.S. Justice Department in what federal authorities said was the largest fraud ever perpetrated against the 9/11 fund, which was established after the terrorist attacks to compensate victims who agreed not to sue. In all, the fund distributed about $7 billion to 9/11 victims and their families.

Mastellone obtained the compensation by submitting false claims that he had not worked since 9/11 and was permanently disabled as a result of injuries suffered in the collapse of the World Trade Center.

He also tried to collect 9/ 11-related compensation from the New York State Workers’ Compen sation Board and the Painting In dustry Insurance Fund, federal authorities said when Mastellone was indicted in September 2006.

They said he lied to a Justice Department hearing officer evaluating his claim for 9/11 compensation and to an FBI agent investigating the fraud.

And….

This is really disappointing. Really sick and sad and it hurts the people who legitmately needed and were entitled to the funds (as entitled as any person can be for such a thing.)

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