BRIEFLY.

Teachers group hires former head

United Teachers Los Angeles announced Friday that it has hired its former president as a strategic adviser for upcoming contract talks.

Wayne Johnson, former president of the UTLA and the California Teachers Association, will begin work Nov. 1, said union President A.J. Duffy.

Johnson was president of the UTLA when teachers walked out in 1989, and has wide support. His hiring comes as Duffy has been fighting to hold on to his job amid criticism over his role in the adoption of legislation giving more power at the Los Angeles Unified School District to Mayor Antonio Villaraigosa.

-- Daily News

Woman possibly missing from ship

The FBI is investigating a report of a passenger missing from the Norwegian Star cruise ship after it docked at the Port of Los Angeles early Friday, a spokesman said.

KCAL-TV (Channel 9) reported that a woman passenger fell or jumped off the ship in Mexican waters as it headed toward Los Angeles. Norwegian Star's Web site indicated that the ship's last stop would have been Wednesday at Cabo San Lucas, Mexico.

A spokesman for the U.S. Coast Guard said his agency was not involved in the investigation or search.

A spokeswoman for Norwegian Cruise Line did not return a message.

-- Associated Press

Insurers get sued for cancellations

A class-action lawsuit was filed Friday seeking to expand protection of hospitals statewide from the practice of retroactively rescinding insurance policy coverage for numerous patients.

The rescissions have occurred after the health care services have been provided by the hospitals, according to the complaint filed in Los Angeles Superior Court.

Named as defendants are Blue Cross of California, Blue Cross Life and Health, and their parent company, Wellpoint Inc.

Robert Alaniz, a Blue Cross of California spokesman, was not immediately available for comment.

California law prohibits Blue Cross from retroactively denying payment after the services have been provided in good faith, according to the lawsuit.

Recently, the state Department of Managed Health Care fined Blue Cross $200,000 in response to a case of coverage for a patient that was improperly rescinded.

-- City News Service

Man sentenced for refund fraud

An Encino man was sentenced to nearly 3 1/2 years in prison for bilking California's recycling program out of $2.5 million in bottle and can refunds, federal prosecutors said Friday.

Errol Segal operates two recycling businesses, Active Recycling and Worldwide Recycling, both on West Slauson Avenue, according to the U.S. Attorney's Office.

Segal, 61, pleaded guilty in March to various charges for exploiting the California Redemption Value program, under which California consumers pay a small fee each time they buy a beverage container. The fee is then refunded when the bottle or can is turned in to a private recycling center.

Between 1998 and February 2000, the state paid Segal and his businesses for bottles and cans that were not eligible under the CRV program, prosecutors said. He pleaded guilty to mail fraud and conspiracy for processing and seeking CRV reimbursement for bottles and cans that were really from outside California -- having been brought from other states and Mexico -- or that never existed, prosecutors said.

In addition to serving 41 months in prison, Segal was ordered by U.S. District Judge A. Howard Matz to pay nearly $1.6 million in restitution to the state.

-- City News Service