Fraud News

Alaska Jury Deadlocked in Family’s Lawsuit Against Tobacco Company

After more than three weeks, a Bethel Superior Court jury cannot decide whether or not a tobacco company misled an Alaska man about the harmful effects of smoking. KYUK-AM reported jury foreman Robert Sundown says jurors deadlocked over whether Philip …

Felony Charges for California Pair in $250K Classic Car Theft Claim

Two people from California were arrested on a scheme allegedly involving the reported theft of an expensive classic car. Constantine Petros, 54, of Petaluma, was arrested on Oct. 19 in Sonoma County. Also arrested was Christopher Hatton, 60, of Tahoma, …

Sober-living Home Operators in California Charged in $176M Fraud Scheme

Former operators of a Southern California sober-living operation have been charged with fraud for allegedly keeping hundreds of people in what the state insurance commissioner calls a “never-ending cycle of treatment, addiction and fraud.” The Insurance Department announced the arrests …

Feds Say Virginia Prison Guards Tried to Smuggle Drugs in for Gang

Federal authorities say they’ve arrested former prison guards connected to a gang that sells drugs inside Virginia state prisons to help finance its activities. An indictment unsealed Friday alleges a wide-ranging criminal enterprise by members and associates of the Mad …

RV Salesman in Washington Caught on Camera in Workers’ Comp Scam Fined $81K

A recreational vehicle salesman in Washington who claimed he couldn’t work because of an on-the-job injury has been ordered to pay back more than $81,000 in state disability benefits. Bobby Ray Johnson, 48, pleaded guilty to felony first-degree theft in …

$125M ‘Spinal Tap’ Fraud, Copyright Termination Suit Filed

Harry Shearer has launched a $125 million fraud and contract-breach lawsuit against Vivendi and StudioCanal over the 1984 rockumentary classic This Is Spinal Tap. The complaint, filed last week in California federal court, is packed with enough nuggets to instantly make …

Owner of Washington Asbestos Company Pleads Guilty to Bogus Certifications

The owner of a company that provided federally mandated training for construction firms that work with asbestos has pleaded guilty to giving certifications to people he knew had not taken his course. U.S. Attorney Annette Hayes says Isaac Cole owned …

Three Found Guilty of in Separate Insurance Fraud Cases in Washington

Insurance fraud cases investigated by Washington Insurance Commissioner Mike Kreidler’s special investigations unit have resulted in felony convictions against three people. David Cook, 51, pleaded guilty in Pierce County Superior Court of attempted first-degree theft. He is in Pierce County …

Hiscox Launches Crime Cover to Protect UK & Irish SMEs Against Fraud

Specialist insurer Hiscox has launched a new crime product, Hiscox Crime Insurance, designed to protect small businesses in the UK and Ireland against a broad range of fraudulent acts from both internal and external parties. Designed to complement other commercial …

Lien Consolidation Court, Fraud Part of Focus at California Comp Conference

The state’s top two labor officials were understandably high on the impact they expect two bills recently signed by Gov. Jerry Brown will have on California’s workers’ comp system and bad actors who have clogged the lien process and driven …