College Student Faces 10 Years for Fraud

A San Bernardino Valley Community College student was arrested by California Department of Insurance (CDI) Fraud Investigators and campus police officers as he was on his way to one of his classes.

Terry Mcgee, 38, of San Bernardino, was booked on one felony count of insurance fraud with bail set at $60,000. An investigation revealed that Mcgee allegedly filed an insurance claim for a property loss from a purported burglary that occurred to his home. His insurer, Insurance Company of the West, later received information that the items allegedly stolen in the burglary were reportedly pawned instead. The items claimed as stolen were the items located at a pawnshop.

Calif. Woman Arrested for Auto Fraud

Monique E. Henriquez, 37, of Elk Grove, Calif., surrendered to authorities in Sacramento County on four counts of insurance fraud.

According to an investigation by the CDI, Henriquez's State Farm automobile policy for her 2001 Toyota Corolla was cancelled on Nov. 5, 2001, due to an unpaid premium.

Henriquez's husband was later involved in an automobile accident in the 2001 Toyota on Nov. 22, 2001.

In Dec. 2001, Henriquez allegedly submitted falsified documents to State Farm Insurance Company indicating she made a payment on Nov. 4, which would have put her policy in force on the date of loss.

Friends Caught in Auto Fraud Scheme

A Sacramento man was arrested by the CDI's Organized Auto Fraud Interdiction Task Force on charges of auto insurance fraud. An Oregon man who allegedly acted as an accomplice is expected to surrender to authorities on the same charges.

Lance David Urke, 39, surrendered to authorities and was booked into Sacramento County Jail on one felony count of allegedly defrauding an insurer. His accomplice, Laurent Gregory Warnshuis Jr., 41, was also expected to surrender to authorities on one felony count of defrauding an insurer.

On May 27, 2002, Oregon State Police contacted the Task Force with information that Warnshuis had driven his 2001 Dodge Ram Truck from Oregon to Sacramento on May 24, 2002, for the purpose of stripping it, reporting it stolen and filing a false insurance claim. Investigators learned that Warnshuis' truck had been reported stolen to Sacramento Police Department on May 25, 2002, and recovered by the California Highway Patrol (CHP) on May 26 in Willows, Calif. Warnshuis' insurer, Progressive Insurance reported that he filed a theft claim for his 2001 Dodge truck on the same day it was reported stolen.

On May 28, Task Force Investigators, along with CHP, the National Insurance

Crime Bureau (NICB) and District Attorney Investigators, investigated the site of Urke Plumbing in Sacramento, where the alleged dismantling of the truck took place. It was also the alleged location where the removed parts were stored. After obtaining consent to search from the owner of Urkes Plumbing, who is also Lance David Urkes' father, investigators located the engine, transmission, seats, radio and other parts that were removed from Warnshuis' truck. Investigators interviewed Urke, who confessed to stripping the truck along with Warnshuis, then dumping it in Willows. Urke explained that he and Warnshuis were old friends and that Warnshuis was allegedly in financial trouble due to a failed marriage, business, and increased insurance rates.

Warnshuis allegedly telephoned Progressive Insurance and investigators to confess to his false vehicle theft and fraudulent insurance claim after he had returned to Oregon. As a result of Warnshuis' false claim, Progressive denied a potential loss of over $21,000.

Tarzana, Calif. Agent Arrested for Fraud

Alfred Galoustian, 34, was arrested on a felony warrant charging six counts of grand theft.

CDI investigators revealed that Galoustian allegedly worked as an insurance broker/agent in Tarzana, collected more than $7,500 in insurance premiums and failed to remit premium to insurance companies. The alleged actions exposed five consumers to the risk of loss.

Galoustian purportedly collected the full premium from one client, then financed the premium without the victim's permission. He placed his own post office box address on the application in order to prevent the victim from knowing the policy had been financed. Galoustian then reportedly failed to make the payments on the premium financing loan and the insurance policy was cancelled for non- payment.

Wash. Man Pleads Guilty to Fraud

A Grays Harbor County, Wash. man has pled guilty to a felony charge of first- degree theft and for fraudulently receiving workers' compensation benefits.

Sherwin D. Phillips, 31, was allegedly receiving workers' comp disability benefits for an injury he sustained in March 2000 while working as a technician for a pest- control company in Olympia, Wash.

An investigation by the Wash. Department of Labor and Industries (L&I) showed that while Phillips was receiving disability benefits from that injury he worked at his own pest-control business, Advance Pest Prevention, in Aberdeen, Wash. Phillips reportedly did not inform the department that he had gone back to work.

Phillips was sentenced to 30 days in jail, which was converted to 240 hours of community service in addition to a $1,110 fine. Phillips was ordered to pay $9,545.76 in restitution to the L&I.

Bay Area Residents Arrested in Alleged Workers' Comp Fraud Scheme

Four Bay Area residents have been arrested on multiple counts of grand theft and insurance fraud among other charges.

Investigators allege that Elisa Guillermo, a billing clerk for Fremont

Compensation Insurance Company, allegedly issued more than $700,000 in claim checks to a non-existent vendor created by Guillermo.

Over a two-year period between 1999 and 2000, Guillermo issued workers' compensation claim checks to the phony vendor named Parkside PT. According to investigators, Guillermo, her husband, Lorenzo, and friends allegedly cashed the claim checks.

The San Francisco District Attorney's Office charged Elisa Guillermo, Lorenzo Guillermo, Juliet Armstrong and Arthur Armstrong, Jr. with various counts including: grand theft, workers' comp insurance fraud, conspiracy, money laundering and revenue and tax code violations.