Insurance Fraud free essay sample

A gang of Russian crooks ran a record-setting, $279 million fraud that exploited New Yorks no-fault auto -accident law, authorities said 2/29/12. The gang worked with corrupt doctors to set up more than 100 phony medical clinics across the city There, they generated fake bills for the treatment of Injuries that ranged from wild exaggerations to outright fabrications, Manhattan US Attorney Preet Bharara said. The fraudsters took advantage of the patient-friendly provisions of New Yorks andatory no-fault Insurance coverage, which guarantees up to $50,000 In medical benefits for anyone hurt in a car crash. Police commissioner Ray Kelly sent two undercover cops infiltrated the operation about six months ago by posing as crash vlctlms. Kelly coached the undercover cops to complain about neck, back and leg pain, and were then kept running back and forth for treatments and tests that was as close as possible to the $50,000 for each offcer. The Russian gang was convicted; the various defendants face prison terms ranging from 30 to 70 years. We will write a custom essay sample on Insurance Fraud or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page In Waterloo, New York- A man admitted that he crushed his son under a truck in a life insurance scheme that netted him $700,000. The man (Karl KarlsenS) plea of guilty to second-degree murder In upstate New York came a day before his trial was set to opem Karlsens, 53. was charged with murder and insurance fraud because he crushed his son (Levy) to death in 2008 by shifting a truck off its Jacks as the son worked underneath it. Karlsens tormer wite, Christina Ann Karlsen, died New Years Day in 1991 in a fire at her home. He denied that he was the cause of her death and ollected $200,000 in insurance on his wife after the fire declared an accident. After his wifes death, they moved to Manhattan. His second wife, Cindy Karlsen, testifies during a pretrial hearing that she began to suspect in the summer of 2011 that her husband had killed his son. She said she had learned that he had used to proceeds from the sons life Insurance settlement to buy a policy on her. l found out it was actually a life insurance policy on me and I would be worth $1200,000 if I were killed, Cindy Karlsen said. New Jerseys Acting Attorney General John J. Hoffman announced that a northern New Jersey chiropractor pleaded guilty Monday to causing false documentation to be submitted to Insurance companies and subsequently recelvlng more than $89,000 to which he was not entitled. Authorities said Joseph Salomone of Nutley, NJ.. pleaded guilty to second-degree health care claims fraud before Superior Court Judge Mitzy Galls-Menendez In Hudson county. under the plea agreement, the state will recommend that Salomone be sentenced to four years in state prison. Salomone greed to pay back over $89,000 in restitution to insurance companies for monies he fraudulently obtained. In pleading guilty, Salomone admitted that he directed his office workers to complete periodic re-evaluation forms which purported to list the results of range of motion tests on automobile accident victims. An investigation determined that Salomone directed his office statt to submit the documents that had fraud in them to the insurance companies listed- Allstate, High Point, Liberty Mutual, and US. Auto association. He had to pay a sum of $140,000 and spend 20 hours