N.J. Man Sentenced for Insurance Fraud Over Damage Done to Car

June 29, 2015

A Newark, New Jersey, man who committed insurance fraud is now headed to prison.

New Jersey state authorities say Derrick Smith recently received a three-year sentence.

Smith sought more than $15,000 from his insurer for damage done to his car before his policy took effect and for personal items he claimed were stolen.

Authorities say Smith sought $13,629 for damage that he said occurred during a five-day period in December 2013 when his car had been stolen. He also claimed a $1,700 watch and earrings worth $1,000 were in the vehicle.

Smith later told police he had found his car. But he said it had extensive damage and his watch and earrings were gone.

The state’s Insurance Fraud Prosecutor’s Office determined Smith caused the damage days before he reported his car stolen, when he struck a parked car in Newark.

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