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Investigative Work

FY 2025 Summary of Performance OI

Narcotics

Our Narcotics program investigates postal employees who exploit their positions and the postal network to use, move, or sell illegal narcotics for personal gain. However, our most serious cases involve employee collusion with external subjects and drug trafficking organizations in the U.S. and abroad.

Our special agents detect and deter these offenses, often in close collaboration with law enforcement agencies across the country.

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OI Narcolics

Narcotics packages including 26 kg. of fentanyl pills seized at the U.S.-Mexico border after a postal employee tried to smuggle them in using her USPS uniform and credentials. Source: HSI. Read the case here.

Internal Mail Theft

Our largest investigative program area focuses on postal employees or contractors who steal mail, as well as those who willfully delay or destroy it.

However, with the rise of theft and illegal sale of checks, credit cards, and other financial instruments, we also investigate external criminal organizations that target, recruit, and collude with employees to steal these and other valuables from the mail. Our Data Analytics teams greatly support investigators to identify exactly when and where these crimes are happening.

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OI Internal Mail Theft

A $370,000 stolen check a criminal organization sold on a popular social media app with the help of a postal employee. Source: USPS OIG. Read the case here.

Contract Fraud

The Postal Service manages billions of dollars in contracts every year, and the sheer volume of contracts and huge dollar value provide ample opportunities for contractors and employees to defraud the agency. 

Our Contract Fraud Investigations Division covers allegations of contract fraud, waste, and misconduct, which can take different forms from collusion among contractors, to bribes and kickbacks to postal employees, to illegal product or service provider substitutions. These investigations also include offenses such as cost mischarging and false claims that steal valuable funds from the Postal Service.

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Evidence photo from Bribery Case Highlight

A week’s worth of USPS credit card receipts amounting to over $44,000 found during a contract fraud investigation. Source: USPS OIG. Read the case here.

Financial Fraud

Postal employees, especially retail associates, are charged with protecting USPS funds. However, some employees embezzle funds by stealing stamps or money from cash drawers, using sophisticated schemes to manipulate postal money orders or money order funds, or falsifying financial retail records. Typically, employees responsible for missing postal funds are reported to management for appropriate administrative action. However, in cases that warrant prosecution, offenders not only face losing their career but also possible jail time and court-ordered restitution.

The OIG’s jurisdiction also covers investigating civilians who defraud the Postal Service with schemes such as fraudulent indemnity, whereby they falsely claim valuables were lost or damaged in the mail.

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Serving no customer, the window clerk retrieves a money order from a side drawer to start the money order transaction.

Evidence showing a retail associate retrieving a money order from a side drawer to start a transaction while serving no customers. Read the case here.

Health Care Claimant Fraud

Current or former postal employees commit this fraud when they falsely claim to be injured or disabled because of performing their duties, receiving unearned benefits and compensation from USPS through the U.S. Department of Labor’s Office of Workers’ Compensation.

Our special agents investigate common fraud schemes, such as filing false or fictitious work injuries, filing false travel reimbursements, making false statements to a treating physician, not disclosing outside income while on workers’ comp, and working elsewhere while claiming total disability.

OI Health Care Claimant

A former employee celebrating her “retirement” from the Postal Service while claiming to be totally disabled after an on-the-job foot injury. Source: USPS OIG. Read the case here.

Health Care Provider Fraud

Our special agents investigate health care providers, staff, pharmacies, and marketers who defraud USPS through the Department of Labor’s Office of Workers’ Compensation Programs. Fraudulent providers order bogus prescriptions, submit multiple claims for the same service, bill for unnecessary services or services never rendered, and bill for more expensive services than patients actually receive. Other schemes can also involve kickbacks (bribes), which entail offering or giving something of value in exchange for business referrals.

OICH Egregious Fraud Evidence 2025-04-24

Evidence showing unnecessary supplies a medical equipment company sent to an employee. Source: USPS OIG. Read the case here.

General Crimes

Our special agents also investigate other crimes, such as:

  • Employees’ misuse of USPS computers
  • Destruction or theft of USPS property
  • Falsification of official documents and forgery
  • Theft of funds
  • Abuse of authority and official misconduct
  • Whistleblower retaliation
  • Sabotage of operations
  • Narcotics use or sale of drugs while on duty
  • Alcohol abuse

To report a suspected crime involving USPS or PRC employees or contractors, submit a complaint to our Hotline