Pennsylvania Woman Charged for Fraudulent Claim on TV
Pennsylvania Woman Charged: A woman from Pennsylvania now faces insurance fraud charges after claiming wind damage to her barn, even though a reality TV crew had already taken it apart. TV Deal Leads to Investigation Tracey Jeffreys, 63, from the Milton area, initially struck a deal with the Discovery Channel’s “Barnwood Builders”. The show planned to dismantle her old barn and use the wood in a reconstruction project. However, after inspecting the structure in 2022, the crew found part of the wood was infested with powder post beetles. As a result, they decided to salvage only some usable sections, and Jeffreys received $20,000 for the materials. $100K Insurance Claim Raises Suspicions Soon after the transaction, Jeffreys submitted a $100,000 claim to Donegal Mutual Insurance, stating that strong winds had knocked down part of the barn. Yet, an insurance adjuster couldn’t verify that wind caused the damage. Weather Records and Witnesses Contradict the Claim Investigators then checked National Oceanic and Atmospheric Administration (NOAA) data. On the day of the supposed damage, wind speeds averaged just 7 mph, far too low to destroy a barn. In addition, neighbors reported seeing the TV crew take the structure apart. The show’s team also confirmed they had dismantled the barn as planned. Pennsylvania Woman Charged Jeffreys Tries to Backtrack When confronted, Jeffreys attempted to withdraw her claim. She claimed she had forgotten to tell the crew not to remove the section she now said was damaged by wind. The Pennsylvania Attorney General’s Office has charged her with insurance fraud, and she was released on bail. 📚 Read More on Insurance Fraud: 📬 Never miss a headline — subscribe for fraud and insurance news updates at JacobiJournal.com.
Iowa Man Gets 10 Years for Fake Rolex Theft Insurance Scam
Fake Rolex Theft: An Iowa man will spend the next decade behind bars after admitting to an elaborate insurance fraud scheme involving counterfeit Rolex watches. Bryce Douglas Murphy, 33, of Peosta, pleaded guilty to Insurance Fraud and Fraudulent Practice, both Class D felonies. Investigators from the Iowa Insurance Division’s Fraud Bureau uncovered the scam, leading to his conviction. The Fraudulent Rolex Claim Murphy filed an insurance claim, falsely reporting that two Rolex watches had been stolen from his hotel room while attending an NFL game. To support his claim, he submitted fabricated documents, including a fake purchase receipt for the watches. However, investigators discovered that Murphy had pulled the same scheme before. In 2019, he filed a nearly identical claim with another insurer and received a $9,998 payout. Further analysis revealed that the Rolex watches were counterfeit, and Murphy had forged the purchase receipt. Fake Rolex Theft Authorities arrested Murphy on June 12, 2023. Sentencing and Penalties After pleading guilty, Murphy received a 10-year prison sentence and was ordered to pay $2,395 in fines. The Iowa Insurance Division emphasized its commitment to cracking down on fraudulent claims. Source: Iowa Insurance Division ✅ Stay Updated: Get the latest insurance fraud news at JacobiJournal.com 📚 Read More Related Articles: 📢 Subscribe Now! For breaking news and exclusive insights, visit JacobiJournal.com.
Florida’s Universal P&C Fined $4M for Inflated Hurricane Irma Claims
Florida’s Universal P&C Fined: Universal Property & Casualty Insurance Co. must pay a $4 million fine after a state investigation found the insurer had submitted ineligible claims to Florida’s Hurricane Catastrophe Fund (Cat Fund). The settlement prevents Universal from collecting more than $30 million in disputed reimbursements. Investigation and Settlement Florida Attorney General James Uthmeier announced the settlement on Tuesday, citing findings from a whistleblower lawsuit. Investigators discovered that Universal had backdated claims from Hurricane Irma in 2017 to increase reimbursements. “Insurance fraud harms Floridians, and this case ensures that the Cat Fund only pays for legitimate storm-related losses,” Uthmeier said. Universal, based in Fort Lauderdale, denied any wrongdoing. Company officials argued that the claims had gone through the Cat Fund’s standard review process over six years. “The Cat Fund conducts a thorough commutation process, evaluating loss data to determine final settlements,” Universal stated. “This process applies to all insurers and led to a mutual agreement.” Whistleblower Lawsuit and Legal Costs A former Universal employee filed the whistleblower lawsuit in 2020, two years after leaving the company. Universal claimed the whistleblower misunderstood reporting procedures, leading to inaccurate allegations. The lawsuit, filed in Leon County, remains sealed. Florida’s Universal P&C Fined Under the settlement terms, Universal must pay $6.5 million, which includes $2.4 million in attorney fees. Universal’s Chief Strategy Officer, Arash Soleimani, framed the settlement as a mutual decision to dismiss the case and move forward. Industry Reactions and Market Impact Gina Wilson, the Cat Fund’s chief operating officer, did not comment on the settlement. However, industry insiders acknowledged that such claim adjustments are rare but not unheard of. Universal, one of Florida’s largest property insurers, explained that post-hurricane claim assessments often evolve. “Over time, insurers gain more information about losses,” Universal stated. “Some claims initially linked to hurricanes may later be classified as unrelated, while others previously omitted may be added.” The company reassessed about 1% of its Hurricane Irma claims before and during the commutation process. The storm remains Universal’s largest single loss event, with total costs rising from an initial $450 million estimate to more than $2 billion. Universal Moves Forward With the case now closed, Universal’s CEO, Stephen Donaghy, emphasized the company’s commitment to Florida policyholders. “We are pleased this review has concluded, and the state has dismissed the case,” Donaghy said. “As market reforms take effect, we look forward to providing more affordable home insurance options for consumers.” Despite the settlement, Universal Insurance Holdings’ stock remained near a five-year high, showing minimal impact from the announcement. Stay Updated: Get the latest insurance fraud news at JacobiJournal.com Read More Related Articles: Subscribe Now! For breaking news and exclusive insights, visit JacobiJournal.com.
Miami Insurance Broker: Sentenced for Condo Premium Loan Fraud
A federal judge has sentenced Miami insurance broker Heleonel “Leo” Gonzalez to 41 months in prison and ordered him to pay more than $5 million in restitution. Gonzalez defrauded a Georgia credit union by securing loans intended for condo associations’ insurance premiums and then misusing the funds for personal gain. Details of the Fraud Scheme Gonzalez, 48, owned Sharp Insurance Agency in Miami Lakes. Between 2023 and early 2024, he submitted false premium finance agreements to P1 Finance, a division of Peach State Federal Credit Union. He falsely claimed that condo associations had authorized these loans to cover property insurance premiums. Court records show that Gonzalez used these proceeds to settle personal debts and purchase property in Park City, Utah. Prosecutors highlighted that Peach State Federal Credit Union transferred around $6 million, unaware of the fraudulent representations. Miami Insurance Broker Condo Crisis Provided Cover for the Scheme Florida’s ongoing property insurance and condominium crises likely provided a cover for Gonzalez’s scheme. Condo insurance premiums and repair costs have surged, forcing many unit owners to consider relocating. Legislative changes in 2022 mandated frequent inspections and larger cash reserves, further straining associations’ finances. Prosecution and Sentencing Gonzalez pleaded guilty in November and voluntarily surrendered to the Bureau of Prisons. Prosecutors noted that his sentence was less than the maximum allowed by sentencing guidelines and fell below their recommendation. He also faces asset forfeiture, including the Park City property. Gonzalez’s Ties to Insurance Providers Records from the Florida Department of Financial Services show that Gonzalez had been an agent for Citizens Property Insurance Corp. since 2016. His appointment is set to expire in April 2025. He also held active appointments with 15 other insurers. Sharp Insurance Agency’s Current Status Despite his sentencing, Gonzalez was still listed as president on the Sharp Insurance Agency’s website as of Thursday. ✅ Stay Updated: For breaking news on insurance fraud, legal cases, and regulatory updates, visit JacobiJournal.com. 📚 Read More Articles: 🔗 Source: Insurance Journal – Full Article 📢 Subscribe Now!Get the latest updates on insurance fraud cases and industry news. Subscribe to JacobiJournal.com for real-time alerts delivered to your inbox.
$5 Million Insurance Fraud Scheme: Texas Man Sentenced
Dallas, TX – A Texas man was sentenced to over 13 years in prison for orchestrating a $5 million insurance fraud scheme, the U.S. Attorney’s Office, Northern District of Texas announced. Criminal Charges and Sentencing Details Jordan Ford, 32, was charged via a criminal complaint in June 2024 and pleaded guilty in September 2024 to conspiracy to commit wire fraud. On Thursday, U.S. District Judge Mark Pittman sentenced Ford to 157 months in prison and ordered him to pay $4,471,338.92 in restitution to the defrauded insurance companies. How the Scheme Worked According to court documents, Ford and his co-conspirators recruited insurance company employees to steal clients’ personal information from legitimate insurance claims. The employees handed over the details to Ford. Using this stolen information, Ford posed as the clients and contacted insurance companies to update payment information to accounts controlled by him and his co-conspirators. $5 Million Insurance Fraud Scheme Exploitation of Company Systems In some cases, Ford paid insurance employees to lend him their company-issued laptops. He logged into company systems, authorized payments, and directed funds to accounts under his control. Fraudulent Proceeds Totaled Over $4.4 Million The scheme misdirected funds from at least three insurance companies, resulting in over $4.4 million in fraudulent proceeds. All Co-Conspirators Pleaded Guilty All nine defendants involved in the scheme have pleaded guilty. This includes: Investigation and Prosecution The Federal Bureau of Investigation (FBI) Dallas Field Office and the Texas Department of Insurance conducted the investigation. Assistant U.S. Attorney Matthew Weybrecht is prosecuting the case. Read More: Texas Insurance Fraud Investigations Recover $58M in 2024California Body Shop Owner Charged with Insurance FraudFour Pharmacists Sentenced for Roles in $13M Fraud ConspiracyNY VA Firefighter Pleads Guilty to Workers’ Compensation Fraud Scheme 🚨 Stay Updated! For more news on insurance fraud, visit JacobiJournal.com.
Third Time’s No Charm as Insurance Agent Is Charged Again
Baltimore, MD – Third Time’s No Charm: A Baltimore County grand jury has indicted Michael C. Okolo, of Parkville, Maryland, for theft of property valued at $100,000 or more. This marks the third indictment since September 2024 for Okolo, a former insurance agent and financial advisor. Maryland Attorney General Anthony G. Brown made the announcement following yesterday’s indictment. Previous Indictments: Theft and Insurance Fraud In September 2024, prosecutors charged Okolo with theft and insurance fraud in two cases: Case 1: Misuse of Client ChecksA client gave Okolo two partially blank checks to pay for insurance premiums. Instead of applying the checks to the policies, Okolo deposited them into his business account and used the money for personal and business expenses. Case 2: Acting Without a LicenseProsecutors charged Okolo with acting as an insurance agent without a license. They alleged that he continued to solicit and sell insurance products after the Maryland Insurance Administration (MIA) revoked his license in 2019. New Case: Fraudulent Real Estate Investment While investigating the previous cases, MIA investigators discovered another incident. In October 2021, Okolo allegedly convinced another client to invest $100,000 in a “real estate partnership.” The client, trusting Okolo’s expertise, provided the funds. However, Okolo spent the money on unrelated personal and business expenses. Third Time’s No Charm Client’s Growing Suspicion The client grew suspicious after Okolo failed to produce $32,000 for closing costs on a real estate deal. When questioned, Okolo claimed the funds were in an escrow account. Yet, he refused to provide proof despite multiple requests. Upcoming Court Dates Okolo’s first two cases are set for trial on June 12, 2025, in the Circuit Court for Baltimore County. He will make his initial appearance in the third case on April 14, 2025. Legal Disclaimer A criminal indictment is merely an accusation. Okolo remains presumed innocent until the state proves his guilt beyond a reasonable doubt. Read More: 🚨 Stay Updated! Get the latest insights on insurance fraud and financial crimes at JacobiJournal.com.
Body Shop Owner Charged in Bait Car Insurance Fraud Sting
A California body shop owner is facing felony insurance fraud charges after an undercover sting operation revealed he inflated a damage estimate on a bait car. Sting Operation Uncovers Fraudulent Claims Investigators from the Santa Clara County District Attorney’s Office, working with the Organized Auto Insurance Fraud Task Force, discovered that Jairon Escobar, 49, owner of Radiator & Body Parts, exaggerated damages on a vehicle with only a single dent. According to authorities, he added thousands of dollars in fake damages to the estimate. The task force—comprised of officials from the Santa Clara County D.A.’s Office, California Highway Patrol, and the California Department of Insurance—conducted the operation in May 2024. They targeted body shops suspected of insurance fraud and encouraging customers to engage in fraudulent claims. How the Bait Car Scheme Worked California Body Shop Owner: For the sting, the task force used a Toyota Camry supplied by the National Insurance Crime Bureau. The vehicle only had a small dent above the front wheel fender. However, Escobar reportedly advised an undercover officer to claim more than $3,000 in additional damages when filing with the insurer. Authorities say he then submitted an inflated repair estimate to Mercury Insurance. Legal Consequences Escobar was arraigned on felony attempted insurance fraud charges on Tuesday. If convicted, he could face incarceration. For more updates on fraud cases and legal developments, visit JacobiJournal.com. Stay informed. Sign up for our newsletter today!
Maryland Woman Convicted in $20M Life Insurance Fraud Scheme
Maryland Woman Convicted: A federal jury convicted Maureen Wilson of Owings Mills, Maryland, for orchestrating a massive insurance fraud scheme involving over 40 life insurance policies worth more than $20 million. She now faces sentencing on June 20. How Wilson Pulled Off the Scam According to court records, Wilson and her husband, James Wilson, misrepresented applicants’ health, wealth, and existing life insurance coverage to secure fraudulent policies. She also misled investors into funding the premium payments, promising high returns. To hide the scheme, Wilson and her husband funneled fraud proceeds through multiple bank accounts, including trusts. Authorities revealed that she failed to report millions in income, filing false tax returns for 2018 and 2019. Criminal Charges and Sentencing Maryland Woman Convicted: Wilson faced multiple charges, including conspiracy to commit mail and wire fraud, mail fraud, wire fraud, conspiracy to commit money laundering, money laundering, and filing false tax returns. While the jury acquitted her on one mail fraud charge, she was found guilty on all other counts. Investigation and Prosecution The IRS Criminal Investigation unit led the probe, with assistance from the Maryland Insurance Administration and the Maryland Attorney General. Justice Department attorneys Shawn Noud and Richard Kelley, along with Assistant U.S. Attorneys Matthew Phelps and Philip Motsay, handled the prosecution. Read More Fraud Cases Stay Informed on Financial Fraud For the latest updates on fraud cases and consumer protection, visit JacobiJournal.com. Source: U.S. Attorney for the District of Maryland
Maryland Woman Scams USAA for $58K—Then Tries Again
Maryland Woman Scams USAA: A Maryland woman defrauded USAA Insurance out of $58,000 using fake invoices and internet photos. When she attempted a second scam for more than $124,000, investigators uncovered her scheme. First Fraudulent Claim: $58K Payout In 2020, Rhonda K. Jackson, 39, of Upper Marlboro, also known as Rhonda Powell, filed a false insurance claim. She reported severe water damage from a broken pipe in her rented home, claiming losses on furniture, electronics, and clothing. As a result, USAA paid her $58,373. However, she never informed her landlord about the supposed leaks. Moreover, the invoices and receipts she submitted were fabricated or altered. Despite this, USAA processed her claim without immediate suspicion. Second Attempt: A $124K Mistake Maryland Woman Scams USAA: In 2022, Jackson tried again, filing a new claim for $124,034. This time, USAA became suspicious and denied her request. Upon further review, they found that she had recycled fake documents and used photos from the internet to support her claim. Consequently, the insurer referred the case for investigation. Investigation and Sentencing After a thorough inquiry by the Maryland Attorney General’s Office, Insurance Administration Investigator Edward Spragg, and Forensic Auditor Suzzanne Jones, authorities charged Jackson with felony insurance fraud. In October 2024, she pleaded guilty. Judge Lawrence Hill sentenced her to five years in prison, though he suspended all but 45 days. Additionally, she must repay $58,737 in restitution to USAA. Key Takeaway: Fraud Doesn’t Pay This case serves as a warning to those attempting insurance fraud. Insurers are increasing their fraud detection efforts, and individuals who submit false claims may face serious legal consequences. For more fraud prevention news, visit JacobiJournal.com. Read the full statement from the Maryland Attorney General’s Office here.
Healthcare Software VP Pleads Guilty in $1 Billion Medicare Fraud Scheme
Healthcare Software VP Pleads Guilty: A Kansas man has pleaded guilty to orchestrating a massive Medicare fraud scheme that scammed the government out of over $1 billion, officials said. How the Fraud Worked Healthcare Software VP Pleads Guilty: Gregory Schreck, a former vice president at a healthcare software company, helped run DMERx, an internet-based platform that generated fraudulent doctors’ orders for medical braces, pain creams, and other supplies. To find patients, Schreck and his co-conspirators used misleading ads, direct mail, and offshore call centers. They convinced Medicare beneficiaries to share personal details and accept unnecessary medical products. Bribery and Fake Medical Orders Rather than conduct real medical evaluations, DMERx partnered with telemedicine companies willing to accept bribes. Doctors signed orders without seeing patients, often based on a brief call—or no interaction at all. Schreck’s team then sold these fake orders to DME suppliers, pharmacies, and telemarketers, who paid kickbacks for the documents. These businesses later billed Medicare and other insurers, collecting more than $360 million in fraudulent claims. Legal Consequences Schreck pleaded guilty to conspiracy to commit healthcare fraud. He now faces up to 10 years in prison. A federal judge will decide his sentence based on legal guidelines and case details. Ongoing Investigation The FBI, HHS-OIG, VA-OIG, and DCIS continue investigating the case. For more on fraud prevention and healthcare compliance, visit JacobiJournal.com. Read the full DOJ statement here.