CEO of large vocational school, alleged co-conspirators charged in scheme that drained injured workers’ education benefits 

The CEO of one of California’s largest vocational return to work counseling centers, Hazel Ortega, 54, of La Habra, and alleged co-conspirators Gemi Bertran, 54, and Elbert Irving, 41, have been arraigned on 31 felony counts for allegedly orchestrating a kickback and forgery scheme that drained injured workers’ educational benefits for personal profit.

A California Department of Insurance investigation found the defendants allegedly forged injured workers’ signatures, submitted fabricated enrollment documents and diverted thousands of dollars in education benefits meant to help injured workers retrain and re-enter the workforce.

California Insurance Commissioner Ricardo Lara.

“These benefits are intended to help injured workers rebuild their lives,” said Insurance Commissioner Ricardo Lara. “Draining those funds through deception is a direct attack on vulnerable workers. We will continue to pursue anyone who exploits the workers’ compensation system for personal gain.”

Detectives launched an additional investigation after an injured worker contacted the department upon reading a press release about Ortega’s prior charges in 2024. When the worker attempted to use their voucher for the Supplemental Job Displacement Benefit program, they discovered the funds had already been exhausted without their knowledge.

The program provides eligible injured workers with $6,000 to $10,000 in vouchers for retraining at state-approved or accredited schools. Detectives found multiple workers’ vouchers were depleted for schools they never attended or had never even heard of in some cases.

According to detectives, Bertran, owner of Nourish the Brain in San Luis Obispo, allegedly billed insurance companies for students to attend the vocational school he owned and then referred those same students to Hollywood Film World, an unaccredited and unapproved institution owned by Irving, who is Ortega’s common-law husband. Detectives determined the students did not attend either institution, allowing the defendants to allegedly pocket the funds.

The investigation also found Ortega Counseling Center, owned by Ortega, allegedly pressured injured workers to sign blank documents, which were later used to submit fraudulent invoices to insurance companies including Sedgwick, State Compensation Insurance Fund and Gallagher Bassett Services.

Ortega was previously charged with 23 felony counts, including insurance fraud, grand theft, and forgery, in a separate case alleging she forged documents and participated in a nearly $1 million insurance fraud scheme involving illegal kickbacks.

The department believes there may be additional injured workers whose vouchers were depleted without their consent. Anyone who believes their benefits were used without authorization is urged to contact the California Department of Insurance Inland Empire Fraud Division at (909) 919-2200.

This case is being prosecuted by the Los Angeles County District Attorney’s Office.