Spokane woman faces felony charge in $60K workers’ comp fraud case

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SPOKANE, Wash. – A Spokane woman was accused of running an adult family home while claiming disability now faces a felony charge in a $60,000 workers’ compensation fraud case.

According to the Washington State Department of Labor and Industries (L&I), Serah Kamau, 52, pleaded not guilty in Spokane County Superior Court to first-degree theft. Her trial is scheduled for Sept. 23 following a recent court hearing.

Court documents allege that Kamau unlawfully received over $60,000 in wage-replacement payments from the state fund intended for injured workers. Investigators claim she initially injured her right shoulder while employed as a nurse at Eastern State Hospital in 2021. After filing an L&I injury claim, Kamau ceased working due to the injury and began receiving benefits.

In October 2022, L&I investigators were alerted to inconsistencies after Kamau refused a light-duty position at the hospital, citing an inability to drive a manual transmission car. During this period, Kamau allegedly operated Brookhouse Adult Family Home for 15 months despite continuing to collect wage-replacement benefits from L&I. Charging papers assert that Kamau misrepresented her work activities to an L&I auditor, claiming sole responsibility for home care without employing any workers.

“Individuals receiving workers’ compensation benefits must disclose any work they’re performing while receiving benefits, whether as a business owner or employee,” said Celeste Monahan, assistant director of L&I’s Fraud Prevention & Labor Standards division. “Those found providing false information will face consequences.”

Kamau has reportedly repaid L&I $68,878 for improperly obtained benefits, plus a $34,439 penalty as per an earlier administrative order. The Washington State Office of the Attorney General is handling the prosecution of the case.


 

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