How Are We Doing?
Some Current Statistics

Arrests and Convictions: 2001 – 2003

• The number of arrests resulting from Frauds Bureau investigations reached a record-setting 811 in 2003, outpacing 2002 by 15% and 2001 by 46%.

• Multi-agency cooperation was a hallmark of many investigations during 2003. Five Rockland County landscapers were arrested in January for operating businesses without securing workers’ compensation and other insurance coverage for their employees. The Frauds Bureau and the Workers’ Compensation Board solved this case with the assistance of the Workers’ Compensation Inspector General’s Office, the Rockland County DA’s Office and the Clarkstown Police Department. In another case of pooling resources, an investigation by the Frauds Bureau, the Orleans County Fire Investigation Team and the New York State Office of Fire Prevention and Control resulted in the arrest of a suspect in July for allegedly burning his home for an insurance settlement. Investigations such as these have become routine and leave no doubt as to the value of such cooperative efforts.

• The Frauds Bureau continues to target no-fault fraud and abuse. An eight-month investigation led to the indictment in August of 85 physicians, psychologists, chiropractors, attorneys, medical clinic owners and others in the first stage of what may be the largest no-fault insurance fraud scheme ever prosecuted in New York State. The investigation was conducted by the Suffolk County DA’s Insurance Crime Unit which comprises detectives and prosecutors from the DA’s Office, the Frauds Bureau, the NICB, the AG’s Office, the State Police and the Suffolk County Police Department.

• Not to be discounted are the day-to-day investigations that also contributed to the Bureau’s record-setting number of arrests in 2003.

• The number of criminal convictions obtained by prosecutors in Frauds Bureau cases totaled 324 in 2003, down from the total for the prior year but well above the number posted for 2001.

• The number of reports of suspected fraud received by the Frauds Bureau reached an all-time high in 2003, up by more than 20% from 2002. Our Web-based electronic reporting system blueprint is in its final stages. Under the AT&T Global Network currently in use, about 69% of all reports received by the Bureau are submitted electronically. With a Web-based system, we can easily achieve 100% electronic reporting, with the capability to accept reports from laptops and field locations. Under the proposed system, certain fields would be required, i.e., the system would not accept the report without specific information. Thus, the system will enhance the effectiveness and accuracy of fraud reports and reduce staff time spent in follow-up with insurers.