Arrests for January 2006
These arrests were made possible through the cooperation of the Frauds Bureau, law enforcement, the insurance industry and the public.
To report suspected incidents of insurance fraud, call 1-888-FRAUDNY
CAUGHT!
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GUILTY
On 5/20/05, Luke Corona of Penfield, NY, reported finding his car on fire. He filed a claim with his insurer and received payment for the loss. During an investigation in which the Frauds Bureau participated, arson investigators from the Rochester Fire Department and the Monroe County Sheriff’s Office determined that the fire was intentionally set. Corona subsequently admitted to the Police that he had set the fire because he was behind on his payments. On 1/7/06, while awaiting a grand jury hearing in the arson case, Corona was arrested and charged with criminal possession of a controlled substance. At that time, the Monroe County DA’s Office also charged him with arson in the 5th degree for the car- fire incident. He pled guilty to the criminal possession charge in exchange for a reduced sentence and agreed to make restitution to his insurer.
- FALSE IDENTITY
Arrested on 1/31/06
Charged with criminal possession of a forged instrument in the 2nd degree, falsifying business records in the 1st degree and insurance fraud in the 5th degree
The defendant in this case allegedly used a fictitious name and a Post Office Box as his home address in filing insurance claims in May and June 2005 for accidents he purportedly had while driving in the parking lot of two local businesses. In each case, he called the business to obtain the name of their insurance carrier. He then contacted the insurers by telephone, St. Paul Travelers in May and Hanover Insurance Company in June, to report the accidents. He submitted fraudulent receipts in support of the claims as proof that he had paid more than $1,000 for repair of the damages. The Frauds Bureau and the Syracuse Police Department joined forces in this investigation. The suspect is currently under investigation for additional incidents of using fictitious names to commit insurance fraud.
- PREMIUMS WITHHELD
Arrested on 1/24/06
Charged with falsifying business records in the 1st degree, offering a false business instrument for filing in the 1st degree and petit larceny
A joint investigation conducted by the Frauds Bureau, the Fulton County DA’s Office and the Department of Motor Vehicles resulted in the execution of a search warrant by the Gloversville Police Department with the assistance of the Frauds Bureau at a local insurance agency . The owner of the business was arrested and accused of collecting auto insurance premiums but failing to forward them to an insurer. The investigation began in the summer of 2005 when several of the suspect’s clients complained to the DMV that their insurance had been cancelled for nonpayment of premiums in spite of the fact that they had made regular payments to the agent.
- ALTERED DOCUMENT
Arrested on 1/23/06
Charged with criminal possession of a forged instrument in the 2nd degree and insurance fraud in the 5th degree
An upstate contractor was involved in an auto accident and submitted a claim to Erie Insurance Group for the loss. An investigation by the Frauds Bureau uncovered evidence that he altered a supporting document in an effort to increase the amount of his reimbursement.
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STAGED ACCIDENT
Arrested on 1/11/06
Charged with insurance fraud and falsifying business records
The defendant in this case was charged with staging an accident for the purpose of collecting benefits under the no-fault portion of his auto insurance coverage. The Frauds Bureau and the NYPD’s Fraudulent Accident Investigation Squad conducted the investigation that led to his arrest.
- ARRANGED THEFT
Arrested on 1/10/06
Charged with grand larceny in the 4th degree
Evidence uncovered during an investigation by the Frauds Bureau, the Niagara County DA’s Office and the Niagara Falls Police Department led to the arrest a suspect accused of stealing a 2005 Chevrolet Equinox valued at $25,000 in January 2005. Further investigation resulted in the arrest ten days later of the owner of the car who allegedly paid the first suspect to steal his car so he could collect the insurance settlement. The owner was charged with grand larceny in the 3rd degree and insurance fraud in the 3rd degree. The car was located stripped the following August in a garage in Niagara Falls.
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FORGED PRESCRIPTIONS
Arrested on 1/10/06
Charged with criminal possession of a forged instrument in the 2nd degree
On six occasions between 1/24/04 and 3/28/05, an upstate dentist forged prescriptions for controlled substances under the name of his business partner. The prescriptions were filled and subsequently billed to Excellus Health Plan under the defendant’s personal health insurance policy.
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CAR FIRE
Arrested on 1/10/06
Charged with grand larceny, insurance fraud, falsely reporting an incident and making a punishable false written statement
In an effort to collect an insurance settlement, the suspect in this case fraudulently reported to the NYPD and GEICO Insurance Company that her car had been stolen. However, an investigation revealed that she arranged for the car to be burned because she was unable to keep up the payments. The Frauds Bureau and the New York City Fire Marshals pooled resources in the investigation that led to her arrest.
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IN BUSINESS
Arrested on 1/6/06
Charged with insurance fraud in the 3rd degree and grand larceny in the 3rd degree
After sustaining a work-related injury in the spring of 2005, an upstate man began collecting workers’ compensation benefits. In addition, he subsequently submitted a statement maintaining that he was unable to work. However, a claim representative saw an ad in a small town newspaper for a painting business owned by the suspect. Audio/video tape surveillance showed him scrapping a house and talking about his business. The Frauds Bureau interviewed several of his customers and, when confronted with their statements, the suspect signed a confession.
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WORKERS’ COMP FRAUD
Arrested on 1/3/06
Charged with insurance fraud in the 4th degree and falsifying business records in the 1st degree
An investigation by the Frauds Bureau and St. Paul Travelers Insurance Company led to the arrest of this defendant for collecting workers’ compensation benefits while employed. The defendant injured his back while working at a car dealership and filed for benefits. He also submitted a signed affidavit stating that he was unable to work. At the bottom of the document he wrote, "Where’s my check?" The insurer was often unable to reach the suspect and believed he might be working. They followed him on several occasions to an automotive repair business owned by his brother and caught him on audio tape answering the telephone and conducting business. The Frauds Bureau obtained payroll records indicating that he was indeed employed at his brother’s business. He subsequently signed a confession.
PRIOR SUPPLEMENT
DECEMBER 2005
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NO BURGLARY
Arrested on 12/29/05
Charged with insurance fraud in the 3rd degree and falsifying business records in the 1st degree
A restaurant owner reported to the Syracuse Police Department on 8/22/04 that a burglary had occurred at his place of business and some leased restaurant equipment and cash with a total value of $7,167 was stolen. He filed a claim with Hanover Insurance Company and was reimbursed for the loss. However, an investigation by the Frauds Bureau and the Syracuse Police Department revealed that no burglary had occurred and the claim was fraudulent.
