Latest Fraud Headlines
All the headlines from our Fraud Topic Page, ordered by recency.
Texas Co. With No Employees Found Guilty of WC Fraud
Jul 8 2003 // In late June, Travis County (Texas) District Judge Patrick Keel found that a San Antonio janitorial company reportedly lied about its payroll to get workers’ compensation coverage so it could pursue lucrative...
CDI Makes Arrests for Grand Theft
Jul 7 2003 // Harrison Bailey, 54, of Yuba City, Calif., was arrested on five counts of grand theft, five counts of theft of fiduciary funds, four counts of embezzlement by an agent and one count of altering records to...
Fourteen Arrested in Fraud Sweep
Jul 7 2003 // The CDI and the Los Angeles County Auto Insurance Fraud Task Force arrested 14 people who are suspected of defrauding three insurance carriers in a criminal conspiracy. The suspects allegedly sold insurance policies to...
Fugitive Arrested in Sacramento
Jul 7 2003 // Two counts of insurance fraud and one count of attempted perjury led the CDI to the arrest of Hamman Noel Jr., aka Kenneth Arlington, 32, of Stockton, Calif., who had been a fugitive for more than a year. In April 2000,...
Woman Arrested on Grand Theft Charges
Jul 7 2003 // Arsenia Ann Mack, 55, of Sacramento, was arrested after she surrendered on two counts of insurance fraud and one count of grand theft. According to CDI investigators, Mack reported a residential burglary loss on Oct. 2,...
Insurance Agent Charged with Grand Theft
Jul 7 2003 // Arshak (Mike) Rostomyan, 27, of Glendale, Calif., was arrested for allegedly selling fraudulent insurance policies and charged with three counts of grand theft. According to CDI investigators, Rostomyan, who owns All...
HIH Investigation Produces First Criminal Charges
Jul 3 2003 // The ongoing investigation into the collapse of Australia’s HIH Insurance Ltd. in March of 2001 with debts in excess of A$5.3 billion (U.S. $3.57 billion) has produced its first criminal charges against the bankrupt...
Calif. Man Surrenders to Authorities on Fraud Charge
Jul 2 2003 // 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...
AAI Says Appellate Court’s Decision Strikes Blow for Insurer Use of Databases in Underwriting, Rating
Jul 2 2003 // In an ironic twist, a recent federal appellate court opinion in an insurance fraud case seems to contradict actions by several regulators to prevent insurer use of claims databases, according to the Alliance of American...
Calif. Man Pleads Guilty to Auto Fraud
Jul 1 2003 // Brian Wynn Stevens, 34, of Helendale, pled guilty to one count of insurance fraud stemming from an auto accident that occurred while he was uninsured, according to an investigation by the California Department of Insurance...
Suffolk County N.Y. Sweep Nets 18 on Charges of Workers’ Comp Fraud
Jul 1 2003 // Suffolk County District Attorney Thomas Spota announced the arrest of 18 people on charges of grand larceny, insurance fraud and other crimes related to defrauding New York’s State Workers’ Compensation...
Former Gov. of Philippines Booked on $2 Mil Felony Warrant
Jun 30 2003 // Eduardo Rodriguez, 61, a former governor of Quezon Province in the Philippines, was held to answer on multiple charges, including reportedly faking the deaths of his mother-in-law and wife to illegally collect more than...
AIA Joins in Filing Amicus Brief in Support of Reg 68 Changes
Jun 27 2003 // The American Insurance Association announced that it has joined with other trade associations to file an amicus brief with the New York Court of Appeals in support of the changes in the no-fault auto insurance Regulation...
Calif. Woman Pleads Guilty to Fraud Charges
Jun 26 2003 // Gwendolyn Henson, 40, of Montclair, Calif. pled guilty last week to insurance fraud charges and was sentenced to 180 days in jail and three years of formal probation. California Department of Insurance (CDI) fraud...
Allstate, Liberty Mutual File $1M Lawsuit in Alleged Ky. Fraud Scam
Jun 26 2003 // Allstate Insurance Company and Liberty Mutual Group announced they jointly filed a federal RICO lawsuit against a Kentucky doctor and owners of several medical clinics and billing companies in that state. The defendants in...
La. Agent Issued C&D Order For Selling Bogus Coverage
Jun 26 2003 // Louisiana Commissioner of Insurance Robert Wooley announced that a Lafayette insurance agent was served a cease and desist order and his insurance license was suspended for allegedly misappropriating insurance premiums...
Calif. Man Arrested for Two Counts of WC Fraud
Jun 25 2003 // California Department of Insurance (CDI) Fraud Division investigators, with the assistance of the Glendale Police Department, arrested Robert Galante, 45, of Simi Valley, on a felony warrant charging him with two counts of...
Couple Involved in Fraud Scam Sentenced
Jun 23 2003 // Basheba and Cedric Peoples, both 35, of Las Vegas were sentenced for their alleged involvement in an internal insurance fraud scheme victimizing California State Automobile Association (CSAA). The suspects were sentenced...
Fraud Bust Leads to Five Arrests
Jun 23 2003 // An undercover operation bust led to five arrests in San Bernardino County, Calif. The California Department of Insurance’s (CDI) Urban Auto Task Force arrested Dr. Michael Loader, 49, a chiropractor, of Claremont;...
Couple Pleads Guilty To Insurance Fraud
Jun 23 2003 // Zenaida Buenaflor, 49, and Phillip White, 49, both of Stockton, Calif., pled guilty to insurance fraud. The couple surrendered to authorities on two felony counts of insurance fraud, grand theft and perjury. Buenaflor paid...
