Fraud News Around the Nation
A Lafayette, La., man is facing a possible 20-year prison sentence for stealing about $1.5 million from an insurance settlement received by his sister.
U.S. Attorney Stephanie Finley said Thursday that 37-year-old Kevin Ralph Andrus pleaded guilty to one count of wire fraud. Prosecutors said Andrus had been the curator for his sister’s estate when an automobile accident left her incapacitated.
As she recovered, she discovered that settlement funds had been transferred to Andrus’ personal and business accounts.
Finley says the guilty plea was entered in a federal magistrate court and still must be accepted by a federal district judge. Then, a sentencing date will be set.
Four individuals were arrested in connection with an alleged staged auto accident, according to an announcement by North Carolina Insurance Commissioner Wayne Goodwin.
Investigators continue to seek two other suspects in association with the case.
Investigators accuse the group of six of conspiring in an effort to commit insurance fraud against Peak Property and Casualty Insurance Company by providing false statements after allegedly staging an automobile accident in June 2015. Investigators allege they falsely claimed not to know the occupants of the other car in the accident, when all six are related to one another and reside in Tabor City.
Patricia Riggins Sumpter was charged with two counts of felony conspiracy and one count each of attempting to obtain property by false pretense, insurance fraud and making false statements on an application for insurance. Sumpter was arrested on March 26 in Columbus County and placed under a $7,500 bond.
Iesha Dashawn Sumpter was charged with two counts of felony conspiracy and one count of attempting to obtain property by false pretense. Sumpter was arrested on March 26 in Columbus County and placed under a $5,000 bond.
Rachel Yvette Galloway was charged with two counts of felony conspiracy and one count each of insurance fraud and attempting to obtain property by false pretense. Galloway was arrested on March 29 in Columbus County and placed under a $5,000 bond.
Ernestine Galloway was charged with two counts of felony conspiracy and one count each of insurance fraud and attempting to obtain property by false pretense. Galloway was arrested on March 29 in Columbus County and placed under a $5,000 bond.
Elfonza Demetrius Riggins is wanted for two counts of felony conspiracy and one count each of insurance fraud and attempting to obtain property by false pretense. Hattis Tean Galloway is wanted for two counts of felony conspiracy and one count of insurance fraud.
The owner of a central Iowa pizza restaurant has been accused of torching his business.
Ankeny resident Robert Schultz is charged with arson, insurance fraud and criminal mischief. Schultz told Des Moines television station KCCI that he’s innocent.
The fire at the Pizza Ranch restaurant in downtown Jefferson was reported about 12:15 a.m. on Jan. 26. No injuries were reported.
Greene County authorities say the business was having financial difficulties.
Arrest warrants were issued for a general contractor and a subcontractor charged with fraudulently padding an insurance claim. An investigation by the Oklahoma Insurance Department’s Anti-Fraud Unit found that Lisa Loven and Jeffrey Scott filed fake invoices with the insurance company for equipment that wasn’t used.
The Anti-Fraud Unit began investigating Loven in May after receiving complaints she was acting as an unlicensed public adjuster. One complaint involved an Edmond church that had received roof damage during a hailstorm on May 29, 2012. Investigators found Loven had submitted a typed invoice for $14,923 to pay for a rented crane to remove the church steeple.
When investigators contacted the owner of the crane rental company, he said he had never worked on the church and that his invoices are handwritten. The owner said he provided a handwritten estimate to subcontractor Jeff Scott of Edmond Roofing. After speaking with an independent adjuster hired by the insurance company, investigators learned that a crane was not used on the church repairs and the steeple was not removed.
Investigators believe Loven and Scott worked together to submit false documents to the insurance company for personal benefit. The Oklahoma County District Attorney has charged them with one count each of conspiracy to commit a felony and false claim for insurance.