The Senate on Thursday unanimously approved a bill aimed at cracking down on workers-compensation insurance fraud that involves check-cashing businesses.

The bill (HB 1277), in part, would allow the Office of Financial Regulation to examine or investigate check-cashing businesses without advance notice. It also imposes requirements on the businesses depositing checks in banks.

House members unanimously approved the bill last month, and it now goes to Gov. Rick Scott.

The issue stems from workers-compensation fraud schemes that involve the creation of shell companies to buy minimal insurance policies.

Uninsured contractors improperly use the policies and go to check-cashing businesses instead of banks after getting paid for their work. State officials have said they think some check-cashing businesses are aware of the fraud and make money from taking part.

See original article at News-Press.com.