The gravy train of disability benefits for healthy Long Island Rail Road retirees is running out of track.
A suspended Long Island Rail Road official suspected of advising employees on how to fraudulently obtain disability pensions was arrested this morning by detectives from the office of State Attorney General.
Fred Kreuder, a 23-year employee with the LIRR, was picked up at his Bellmore home on felony and misdemeanor public corruption charges, for allegedly teaching his co-workers to game the U.S. Railroad Retirement Board.
He is scheduled to be arraigned in Queens State Supreme Court later today.
Kreuder, 49, was suspended from his position as manager of operations support and analysis for the LIRR in October. He previously worked in the commuter railroad’s pension office.
In exchange for a fee, Kreuder allegedly would fill out the disability applications for LIRR workers on the verge of retirement, send them to doctors to obtain paperwork documenting non-existent disabilities, and coach them on what to say if questioned by officials.
Workers could then collect thousands of dollars a month in benefits in addition to their regular pension. Some even received free passes to a local golf course as part of their “rehabilitation.”
A spokesman for Attorney General Andrew Cuomo had no immediate comment.
The Long Island Rail Road did not immediately return a call for comment.