Calif. Public Works Ops Manager Arrested for WC Fraud
The California Department of Insurance (CDI) Fraud Division arrested Doyle E. Champlain, 45 of Orangevale, Calif., without incident on five felony counts of insurance fraud and one felony count of attempted perjury.
On Nov. 30, 2001, Champlain allegedly made a workers' compensation claim for an injury to his left wrist while being employed as the Sewer Division Supervisor for the City of Folsom, Calif. Surgery was performed on April 22, 2002. The City of Folsom discovered on May 31, 2002, that Champlain was allegedly using the city's discount at a local industrial supply company and surveillance was initiated.
According to investigators, it was discovered that Champlain was reportedly working and performing services for the State of California under the business name of D&R Services. On Aug. 19, 2002, Champlain was deposed and he testified that his side employment abilities were very limited and that he had to use additional help to perform the physical attributes of the jobs. Champlain was capable of all of the physical labor himself, according to the surveillance video.
If convicted, Champlain could face up to five years in state prison and/or a maximum fine of $50,000.
Ariz. Man Indicted on Multiple Fraud Counts in Nev.
Nevada's Clark County Grand Jury indicted Pavel Daniel Oprea, 37, on nine felony counts of insurance fraud including three counts each of the following: false application to insurer, false claim for insurance benefits, and obtaining money by false pretenses. Oprea's permanent residence is believed to be in Arizona.
Oprea is alleged to have applied for automobile insurance benefits from four different insurance companies and made identical claims for property damage to three of these companies. He also allegedly reported his vehicle stolen to one insurance company and was paid for the automobile at a much higher rate than the actual mileage on the car would dictate.
In his three claims for identical damage to his vehicle he was paid $3177.09, $3297.87 and $3220.17 respectively.
Calif. Man Arrested for Auto Insurance Fraud
Samuel Tufino Machado, 22, also known as Salvador Castaneda, was arrested and booked into the Sacramento County Jail on two felony counts of insurance fraud with special allegations that the crimes were committed while he was out on bail. If convicted, he could face up to five years in prison and/or a maximum fine of $50,000. The Sacramento County District Attorney's Office is prosecuting the case.
Machado was allegedly involved in a motor vehicle accident with his 1996 Cadillac on Sept. 7, 2002. The vehicle was declared a total loss. According to authorities, Machado reportedly claimed that the tow truck driver stole stereo equipment from the vehicle and submitted to the insurer a receipt from a stereo company for $6,249.50 worth of equipment.
An inspection of the vehicle suggested there was no wiring to support the alleged stolen items and the owner of the company confirmed that he never sold or installed any equipment for Machado.
Anaheim Agent Pleads Guilty to Felony Counts of Grand Theft
The CDI Criminal Investigations Branch arrested Gary Stromme, 47, at his Anaheim, Calif., business office on May 9, 2002 by members of CDI's Fraud Division. Stromme plead guilty to two felony counts of grand theft in Orange County Superior Court.
Stromme was sentenced to serve 365 days in Orange County Jail, placed on five years of formal probation, and ordered to pay full restitution to his victims. Several of Stromme's reported victims were a Loyal Order of Moose Lodges that paid him insurance premiums without receiving a valid policy.
Stromme allegedly obtained an insurance premium from the Moose Lodges without remitting it to the insurance company and then issued fraudulent insurance certificates to the individual Moose Lodges.
An order of immediate suspension was issued against Stromme's insurance license and additional administrative action is pending.
L.A. Residents Charged with WC Conspiracy
Ana Rosa Pena, 54, and Juan Pena, 65, were arrested in San Dimas, Calif. Rosa Pena was charged with one count of Preparing Fraudulent Documents, three counts of perjury, and one count of grand theft. Juan Pena was charged with one count of assist/conspire insurance fraud, one count of grand theft, and one count of perjury. All counts are felonies.
On July 1, 1998, Rosa Pena filed a workers' compensation claim alleging severe anxiety due to a bomb threat. During time of disability, it was discovered by CDI's Fraud Division that Pena had purchased and operated a liquor store. Following investigation of this claim revealed that Rosa Pena allegedly made material representations and submitted fraudulent documents. Juan Pena was found as an alleged conspirator while helping his wife obtain illegal benefits.
It is estimated that the County of Los Angeles paid Rosa Pena over $100,000 during the time of alleged injury.
