Hearing scheduled in SC insurance fraud case

GREENVILLE, S.C. (AP) — Federal officials say a plea hearing is scheduled for a South Carolina man charged with defrauding church workers out of $2.5 million in health insurance premiums.

U.S. Attorney Bill Nettles says 49-year-old William Madison Worthy is expected to make an appearance in federal court in Greenville on Thursday. Court documents show Worthy has agreed to plead guilty to an insurance-related crime.

Prosecutors say Worthy and one of his companies collected more than $3.5 million in health premiums between March 2004 and June 2006. The government says $1 million in medical claims were paid, but the other $2.5 million was diverted to bank accounts Worthy controlled.

The victim was Fellowship Services, a provider of employment benefits for pastors and church workers.

Worthy faces up to 10 years in prison.