GARDEN CITY, N.Y. - Authorities have derailed a 23 year employee of the Long Island Railroad, for helping fellow workers obtain disability benefits just before their retirement, officials say.
Fred Kreuder, a railroad budget manager, was charged with official misconduct and receiving reward for official misconduct Monday.
Authorities say Kreuder accepted cash payments for his son's little league team, in exchange for advising co-workers on the proper way to file disability forms after they retire. He referred soon-to-be retirees to a doctor who would claim they were disabled, according to police.
The arrest comes on the heels of the recent disability pension scandal plaguing the Long Island Rail Road. A number of investigations were launched back in September when it was reported that more than 90 percent of the LIRR's retirees applied for disability payments, where 98% of those cases were approved.
According to Kreuder's attorney, his client has nothing to do with the recent disability rip-off.
"We entered a plea of not guilty," said attorney William Petrillo. "In the trial he will be proven innocent."
Attorney General Andrew Cuomo, who announced the arrest Monday, released a statement on the case, saying "the arrest is the first time that someone is being held accountable for the culture of entitlement and systematic abuse that has plagued the Long Island Railroad."