Attorney General Christopher S. Porrino announced that a former Camden City firefighter was sentenced to state prison today for stealing more than $82,000 by fraudulently collecting a disability pension from the New Jersey Police and Firemen’s Retirement System while instructing jiu jitsu classes and participating in competitive mixed martial arts.
Shane B. Streater, 41, of Camden, was sentenced to seven years in state prison by Superior Court Judge John T. Kelley in Camden County. He was ordered to pay full restitution of $82,488 to the pension system and he is permanently barred from public employment in New Jersey. Streater was found guilty at trial by a Camden County jury of second-degree theft by deception on April 12. The charge stemmed from an investigation by the Division of Criminal Justice Corruption Bureau.
Deputy Attorneys General Jonathan Gilmore and Pearl Minato tried the case and handled the sentencing for the Division of Criminal Justice Corruption Bureau. They were assisted at trial by Analyst Nathalie Kurzawa. The matter was referred to the Attorney General’s Office by the Board of the Police and Firemen’s Retirement System (PFRS).
“This was one of the most egregious cases of pension fraud in recent memory,” said Acting Attorney General Porrino. “Streater added insult to feigned injury by competing in mixed martial arts while his former colleagues risked their lives fighting fires in Camden.”
“This prison sentence hammers home the message that pension fraud is a serious crime which we will prosecute aggressively,” said Director Elie Honig of the Division of Criminal Justice. “This type of theft drains much-needed funds away from the pension system and from deserving workers.”
In February 2009, Streater applied for an accidental disability pension, asserting that he was disabled as the result of two accidents while on duty: one in December 2007, when a car struck the fire truck he was riding, and a second in March 2008, when his fire truck hit a pothole. In each incident, he claimed to have injured his back and/or neck. Based largely on statements from Streater regarding his inability to engage in physical activity, an independent doctor found he had a total and permanent disability. The doctor concluded, however, that his disability was from a preexisting condition and not work related.
The PFRS Board awarded Streater an ordinary disability pension on January 9, 2010. Streater appealed to the Office of Administrative Law, insisting his disability was work-related and he was entitled to an accidental disability pension, which is untaxed and pays two-thirds of the beneficiary’s salary, while an ordinary disability pension pays 40 percent of salary and is taxed. A deputy attorney general and investigator handling the appeal for the PFRS Board subsequently learned that Streater was teaching jiu jitsu two or more times a week at a mixed martial arts academy. They also found a YouTube video of Streater participating in the highly competitive Grapplers Quest Mixed Martial Arts Tournament in June 2010, at which he won a bronze medal. Further investigation revealed that Streater was awarded his black belt in jiu jitsu in 2010, while collecting the PFRS disability pension. The PFRS Board revoked Streater’s disability pension on April 9, 2012, but he already had collected a total of $82,488 in benefits.
Deputy Attorney General Peter W. Lee presented the case to the state grand jury. The investigation was conducted for the Division of Criminal Justice Corruption Bureau by Deputy Attorney General Gilmore, Detective John Sheeran and Detective Paul Marfino Jr., under the supervision of Lt. Robert Feriozzi, Deputy Attorney General Lee, who is Deputy Bureau Chief, and Deputy Attorney General Anthony A. Picione, who is Bureau Chief. Acting Attorney General Porrino thanked the PFRS Board and the Division of Law for their investigation and referral.
Acting Attorney General Porrino and Director Honig noted that the Division of Criminal Justice has established a toll-free tip line 1-866-TIPS-4CJ for the public to confidentially report fraud, corruption and other illegal activities. The public also can log on to the Division’s webpage at www.njdcj.org to report suspected wrongdoing confidentially.
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