Calif. Man Pleads Guilty to Auto Fraud

Brian Wynn Stevens, 34, of Helendale, Calif., pled guilty to one count of insurance fraud stemming from an auto accident that occurred while he was reportedly uninsured, according to an investigation by the CDI. He was sentenced to 15 days in county jail, three years probation and a $150 fine. Stevens surrendered to authorities on June 13 and was booked into the Placer County Jail.

According to CDI Fraud investigators, on March 10, 2003, Stevens reportedly was involved in a motor vehicle accident while uninsured. Later that day, Stevens allegedly purchased insurance online through Esur-ance. On March 11, Stevens stated in a recorded statement that he purchased the policy prior to the accident. He later admitted to investigators during an interview that he had purchased the policy after the accident.

Calif. Man Surrenders to Authorities

Chad Matt Schmidt, 33, of Walnut Creek, surrendered to authorities on June 13, and was booked into the Placer County Jail on five counts of insurance fraud. If convicted, Schmidt could face up to five years in prison and/or a maximum fine of $50,000. The Placer County District Attorney's Office is prosecuting the case.

According to CDI investigators, on March 26, 2003, Schmidt's 1997 BMW was reportedly hit while parked in San Francisco, causing damage to the left front fender area. Schmidt was not insured at the time. On March 28, the BMW was repossessed and the vehicle condition report reflected that damage. Later that same day, Schmidt allegedly purchased insurance online with Esurance.

On April 2, Schmidt reported that the BMW had been involved in a hit and run, but supposedly said that the accident had occurred earlier that day. He allegedly made these statements to both the claims adjuster and the investigator. Schmidt confessed after investigators confronted him with evidence showing the accident happened on March 26.

Minister Charged with Felony Insurance Fraud

A California Baptist minister has been charged with 17 felony counts of insurance fraud and grand theft. Charles Lincoln Hopkins turned himself in to authorities after a $250,000 bail warrant was issued for his arrest. CDI found that he reportedly worked as a pastor despite claiming total disability retirement benefits due to an injury he incurred as a City of Berkeley employee.

Hopkins was injured in 1995 while working as a mechanic for the City of Berkeley. He applied for and received disability, asserting in insurance documents that he was 100 percent disabled and unable to perform any type of job. He also certified that he was not receiving any "wages, salary or remuneration" outside of his job with the city.

Hartford Insurance Company, which issued the policy, reviewed the case and reported to CDI that Hopkins was working as a pastor since at least 1995. Investigators said that each felony count against Hopkins could carry a sentence of up to 5 years imprisonment.

SAAB Insurance Agent Charged with Fraud

Grand Theft charges were filed against a licensed agent and owner of SAAB insurance Services. Irma Hernandez, 33, of Los Angeles, Calif. was arrested and charged with two felony counts of grand theft.

Investigators with CDI revealed that Hernandez allegedly sold fraudulent insurance policies to consumers and collected premiums of approximately $2,900, but never forwarded the money to any insurance company. These fraudulent activities left a victim without valid automobile insurance and exposure to an uninsured loss of $7,000 following an auto accident.