Fraud News

Former California Claim Adjuster Pleads Guilty to Embezzling $289K

Elizabeth Louise Brown, 48, of Canyon Country, Calif., a former claims adjuster with Explorer Insurance, pleaded guilty to two counts of insurance fraud with a white collar crime enhancement penalty for crafting an elaborate scheme to defraud her employer of …

Idaho Non-Resident Producer License Revoked

The Idaho Department of Insurance received notice from the Washington Office of Insurance Commissioner revoking the license of Randy W. Tate, a Washington resident. Idaho insurance code gives the director the right to revoke any insurance producer license that has …

Arraignment Set for Former California Agent in Decade-Long Scheme

Valerie Ann Verdugo, 38, of Bakersfield, Calif., is scheduled to be arraigned Wednesday on felony insurance fraud charges for obtaining insurance coverage without paying the carrier on those policies for more than a decade. Verdugo, a licensed agent, surrendered herself …

CDI: Trucking Company Owners Cheated Workers’ Comp Carrier out of Millions

A pair of California trucking company owners were arrested for cheating their worker’s compensation insurer out of millions of dollars. Alvin Shin Chen, 54, and Fiona Xilin Chen, 46, both of La Cañada Flintridge, Calif., were arrested this week at …

Ex-Insurance Agent in East Texas Sentenced to 3 Years for Fraud

A former insurance agent in East Texas must serve three years in prison for running a $5 million medical investment scam. Robert B. Hahn was sentenced in federal court in Tyler. The 64-year-old Tyler man in November pleaded guilty to …

Organized Crime Ring in California Busted for Auto Collision Fraud

Juan Ortiz Velazquez, 27, of San Jose, Calif. and owner of Carlos Auto Body, was arrested with seven other suspects and charged with multiple counts of felony insurance fraud  on Wednesday for allegedly filing 20 fraudulent claims to four insurance …

How to Use Social Media, Surveillance to Catch Workers Compensation Lies

As workers’ compensation fraud costs top out at an estimated $7.2 billion a year, according to the National Insurance Crime Bureau, insurers are looking at ways to combat the crime. There are several warning signs that a workers’ compensation claim …

Washington Casino Dealer Ordered to Repay $27K in Workers’ Comp Scam

A Spokane, Wash. card dealer caught working at casinos while receiving disability benefits must repay more than $27,000. Victor Arredondo, 58, pleaded guilty this week in Spokane County Superior Court to felony second-degree theft and misdemeanor third-degree theft. Judge Gregory …

Chief Executive of Leading Romanian Insurance Company Charged with Fraud

Anti-corruption prosecutors have charged one of Romania’s richest businessmen with money laundering and abusing his position as a chief executive of a leading insurance company. The anti-corruption prosecutors’ office charged Dan Adamescu on Monday with causing 800 million lei ($197 …

Former California Agent Admits To Embezzling From Clients

Julie Diane Shinar, 44, of Long Beach, Calif., was convicted of theft by embezzlement in Long Beach Superior Court. Shinar was ordered to serve three years of formal probation and pay $29,158 in restitution to her victims. Shinar reportedly received …