A man and two women are accused of defrauding the TTC employee benefits plan to the tune of $4 million.
Toronto police allege the owner of Healthy Fit sent out bills for medical devices but the products were never supplied. In other cases, the cost of services was inflated on the receipt.
Owner Adam Smith targeted TTC employees specifically because of their benefits, police allege.
Healthy Fit and the person making the claim would then share the money that was paid out by Manulife Financial, the TTC said in a statement.
The company had provided care and services to employees and their dependents, the TTC said, but that ended on Wednesday.
“Effective immediately, any Healthy Fit claims made recently, or in the future, will be rejected,” the TTC said.
TTC officials said a tip came in on their internal hotline. They immediately told Manulife, who contacted Toronto police.
There is no evidence linking TTC employees or their dependents to any crime, the TTC said, but they have launched an internal investigation. The police investigation also continues.
Employees could face criminal charges and lose their jobs, TTC CEO Andy Byford said.
Adam Smith, 44, of Mississauga; Sachia Leon, 28, of Toronto; and Savath Nget, 30, of Toronto; are all charged with fraud over $5,000 and laundering proceeds of crime.