COURT ACTIVITY

6/27/08: The cases against Moises Fils and Channell Madison were each continued without a finding for five years on charges of motor vehicle insurance fraud and larceny. Fils was ordered to pay full restitution of more than $11,000.  Madison reported that on March 12, 2005 she was driving Fils’s 2000 Mercedes S500 when the vehicle was allegedly sideswiped by a 1997 Honda Accord. Madison reported that she exchanged insurance information with the driver of the Honda. No police or ambulances were called to the scene. A claim made to the insurer resulted in a payment of more than $11,000 to the repair shop for repairs to the Mercedes. Investigation revealed that the Mercedes had been sideswiped a month earlier in a hit-and-run accident and that the March 12, 2005 accident never occurred.

6/20/08:  Complaints were issued against Manolito Diaz on charges of motor vehicle insurance fraud, attempt to commit a crime and forgery of a document. Diaz, the funeral director at the Diaz-Healy Funeral Home, prepared a billing statement for the funeral of an eleven-year-old Lawrence boy for the amount of $1,500 for burial in a public grounds section of a local cemetery. A second billing statement was allegedly prepared and signed by Diaz in the amount of $11,751 which included $3,980 for a grave stone. This billing was submitted to the insurance company of the driver who had struck the boy. Diaz submitted the second billing statement after allegedly learning about the insurance benefits for the boy’s funeral expenses. Furthermore, Diaz had knowledge that the area the boy was buried did not allow grave stones and allegedly intentionally inflated the bill to fraudulently collect from the insurance carrier.

6/18/08:  Indictments were returned against Efrain Colon and Rosita Colon. Efrain Colon was charged with two counts of motor vehicle insurance fraud, two counts of conspiracy and one count each larceny, attempted larceny and perjury. Efrain’s girlfriend, Rosita Colon, was charged with two counts each motor vehicle insurance fraud, larceny and conspiracy and one count each falsification of a Massachusetts identification card and attempting to falsify a Massachusetts identification card. Investigation revealed that in October 2003, Rosita, Efrain and two of their children were involved in a minor motor vehicle crash in a mall parking lot when they were struck from behind by a mall security vehicle. As a result of the motor vehicle crash, both Efrain and Rosita filed PIP and bodily injury claims and claimed to have allegedly missed work from their jobs. However, allegedly neither Rosita nor Efrain were employed at the time of the motor vehicle accident. The pair allegedly submitted multiple fake and forged documents to the insurance companies in an effort to validate their claims. Based on their fraudulent claims, the Colons received approximately $9,000 from their insurer. In addition, Rosita settled her alleged fraudulent bodily injury claim with the mall insurance carrier for $50,000.

6/12/08: Rigoberto Tellez was indicted on one count of workers’ compensation fraud, two counts of larceny and 23 counts of unemployment fraud. Tellez applied for and began receiving unemployment benefits from the DUA in October 2005 while separated from his employer. In November 2005, Tellez was re-hired by his employer and allegedly continued to receive unemployment benefits and failed to disclose his employment status to DUA. On December, 10, 2005, Tellez was injured in a fall sustained at work. Tellez applied for and began receiving workers’ compensation benefits through his employer’s insurer from December 2005 until May 2006, at which time he was cleared through an IME for light duty work. The employer allegedly offered Tellez employment which met the criteria stated by the IME, which he subsequently refused. In June 2006, Tellez allegedly filed an employee claim with the DIA. DIA heard the claim in September 2006 and ordered the insurer to pay Tellez benefits retroactively from June 2006. Tellez filed an E.E.R. in June 2006 stating that he was entitled to workers’ compensations benefits and earned no other wages. During part of this time, Tellez was allegedly collecting unemployment benefits in addition to workers’ compensation benefits. For each of the 23 weeks that Tellez collected unemployment benefits, from November 2005 to April 2006, he allegedly notified the DUA that he was not working, but that he was able to work and was available for work. Tellez was paid unemployment benefits totaling $14,309.

6/11/08: Jennylyn Gallego pleaded guilty to false report of a crime. She was placed on probation for one year and ordered to pay $240 restitution. Charges of leaving the scene of a motor vehicle accident and motor vehicle insurance fraud were continued without a finding for two years. Gallego reported the alleged theft of her 2002 Acura RSX on January 13, 2007. Gallego confessed that the vehicle had not been stolen as reported but that she had been the operator of the Acura when she lost control due to excessive speed and struck an unknown vehicle. She then left the scene of the accident and later abandoned the vehicle.

6/4/08:  Joel DeAlmeida was convicted of five counts of attempted larceny by check and one count each of failure to pay wages and failure to provide proper pay stubs. He was sentenced to one year in the House of Correction on each of these charges, with all sentences to run concurrently with each other. After his conviction, DeAlmeida and his company EJJA Carpentry, Inc., pled guilty to a second set of charges that were scheduled for trial. Following DeAlmeida’s guilty plea, DeAlmedia was sentenced to two years to two and one half years in state prison on two counts of worker’s compensation fraud, two counts of larceny and failure to pay unemployment taxes. DeAlmeida was also sentenced to serve one year in the House of Correction on three counts of failure to pay wages, three counts of failure to provide proper pay stubs, retaliation against an employee seeking rights, failure to provide workers’ compensation insurance and two counts of failure to furnish records in connection with a demand made by the AG’s office for the company’s payroll records. All sentences are to run concurrently with each other. EJJA Carpentry, Inc. was ordered to pay a $2,500 fine. The charges stem from two investigations. One investigation was initiated after several employees filed complaints with the AG’s office in early 2004. DeAlmeida and EJJA Carpentry also failed to pay unemployment taxes, failed to report unemployment taxes and had improprieties in the company’s workers’ compensation policies and premiums. Further investigation revealed that DeAlmeida underreported the number of individuals employed by EJJA Carpentry and their wages to avoid paying higher premiums for workers’ compensation insurance. They also committed fraud by making material misstatements on applications for worker’s compensation insurance.

5/22/08: Complaints were issued against James Cardarpoli and Justin Torrey. Cardarpoli was charged with motor vehicle insurance fraud, attempt to commit a crime and conspiracy. Torrey was charged with conspiracy. Cardarpoli reported to his insurer that his 2006 Chevrolet Impala was struck by an unknown hit-and-run vehicle while parked at a Springfield parking lot on February 3, 2007. Police were not called to the scene. Cardarpoli claimed that the vehicle had no damage on it prior to his leaving it in the parking lot and that when he discovered the damage he arranged to have the Impala towed to his mother’s home. Torrey supported Cardarpoli’s claim. A collision damage report concluded that the damage to the Impala was inconsistent with a hit-while-parked vehicle to vehicle collision as reported by the two men. Furthermore there were numerous inconsistencies in the statements made by the men regarding the alleged hit-and-run circumstances.

5/22/08: Complaints were issued against Carolyn Dumeng, Juan Quintero and Jonathan Concepcion. Dumeng was charged with two counts of motor vehicle insurance fraud and one count each attempt to commit a crime, conspiracy and false report of a crime. Quintero was charged with one count each motor vehicle insurance, attempt to commit a crime and conspiracy. Concepcion was charged with a single count of conspiracy. Dumeng reported to police that she was involved in a November 19, 2004 hit-and-run accident at a West Springfield rotary. The only description Dumeng gave of the other vehicle was that it was a white sedan. Dumeng, Quintero and Concepcion all reported alleged injuries sustained in the accident. That same day another couple reported to police that they were involved in a hit-and-run rotary accident with a red Ford Aerostar. Two independent witnesses to the accident pursued the Aerostar and obtained the plate number of the vehicle which was registered to Dumeng. The accident as reported by the occupants of the other vehicle and the independent witnesses did not occur as claimed by Dumeng and the alleged passengers in the Aerostar.

5/22/08:  Alcides Ozuna, Juan Perez, Lidia Colindres and Daniel Colindres were arraigned on insurance fraud charges for their alleged involvement in a November 18, 2002 fraudulent motor vehicle accident. Each was charged with motor vehicle insurance fraud and larceny. Ozuna reported that the front of her 1988 GMC van was struck in the front by a 1990 Toyota Tercel which was owned and operated by Perez. All passengers in the vehicles reported alleged injuries sustained in the collision. Investigation revealed that the GMC van was impounded at the time of the alleged accident. In addition, photographs of the GMC taken shortly after the alleged accident show no front end damage as reported by Ozuna and Perez in their accident reports.

5/21/08:  Douglas Poole pleaded guilty to three counts of workers’ compensation fraud and one count of larceny. He was sentenced to 2 ½ years in the House of Correction, 98 days to serve and the balance suspended for the workers’ compensation fraud charge, and probation for five years for the larceny charge. He was also ordered to pay $34,716 restitution. Poole has been incarcerated since his February 13, 2008 arrest and was released from custody for time served. On September 14, 1992, Poole sustained a work-related injury following a fall at a construction site and began collecting worker’s compensation benefits as ordered by the DIA from September 1992 through October 2005. Investigation revealed that Poole collected workers’ compensation benefits while working on separate occasions over a three year period from October 2002 through November 2005 at his own construction company as well as being employed as an independent snow plow operator for the town of Spencer.

5/12/08:  Complaints were issued against Lawrence Chesarone and Eddie Gonzalez. Chesarone was charged with motor vehicle insurance fraud, attempt to commit a crime, conspiracy and false report of a crime. Gonzalez was charged with conspiracy. Chesarone reported the alleged theft of his 2003 GMC Sierra from the MBTA train station in Randolph on July 26, 2003. Chesarone stated that the vehicle was locked and he was in possession of all keys to the vehicle at the time of the theft. Later the same day, the Brockton fire department responded to a passenger vehicle fire. The vehicle was Chesarone’s GMC Sierra. Chesarone allegedly staged the theft and burning of the GMC Sierra with the assistance of Gonzalez.

4/28/08: Jovi Chitpaseuth and Michelle Neak both pleaded guilty for their role in an insurance fraud scheme. Chitpaseuth pleaded guilty to filing a false motor vehicle insurance claim, attempting to commit a crime and conspiracy. Neak pleaded guilty to filing a false motor vehicle claim and conspiracy charges. Chitpaseuth was sentenced to five years probation with restitution and conditions that he not be involved in any gang activity. Neak was sentenced to two years probation and restitution. On April 26, 2006, Chitpaseuth reported to the Lowell Police Department that he was involved in a hit-and-run accident. The accident report shows no passengers in the motor vehicle accident. Two days later, Chitpaseuth reported to his insurance company that he was involved in a hit-and-run with a red car and that his girlfriend, Neak, was the front seat passenger. He later stated to the insurance company that he was struck from behind by an unknown vehicle near a Lowell restaurant. Neak also stated she was in the motor vehicle at the time of the crash. In November 2006, an unrelated investigation by Lowell police revealed a video of the actual crash that had taken place. In the video, Chitpaseuth’s vehicle is shown pulling up to the restaurant with numerous passengers exiting the vehicle. It then shows Chitpaseuth and other individuals striking another vehicle with baseball bats. The vehicle that was vandalized then fled the scene, striking Chitpaseuth’s vehicle in the process. The video also reveals that Neak was not present at the scene or inside the vehicle.

4/23/08: Tu Quy Mai was indicted on 54 counts of mail fraud for his involvement in staging auto accidents and operating fraudulent physical therapy clinics and medical billings offices in several Massachusetts cities and towns. From 2000 through 2006, Mai allegedly engaged in a scheme to defraud insurance companies by means of staged auto accidents and false and fraudulent medical and physical therapy billing claims. Mai allegedly established and operated clinics in various locations in Massachusetts, including Worcester, Quincy, Brockton, West Roxbury and at least five different locations in Dorchester. In addition to paying people to stage auto accidents, Mai allegedly paid others to pretend to have been in auto accidents, whether real or staged, in order to seek treatment at one of his clinics, for which he submitted claims to insurance companies. Mai allegedly routinely caused physical therapists and physical therapist assistants who worked for him to prepare false records, including evaluation reports and notes of alleged treatments, when no actual evaluation or treatment had been performed. To avoid detection by insurance companies, Mai allegedly routinely changed the name of his clinics and billing companies and caused others to hold themselves out as the owners.

4/23/08: Amanda Pedroza pleaded guilty to four counts of insurance fraud, nine counts of larceny, four counts of attempting to commit larceny, five counts of motor vehicle insurance fraud, two counts of workers’ compensation fraud, three counts of conspiracy and one count of making a false representation to the Department of Transitional Assistance. She was sentenced to 2 ½ years in the House of Correction, six months to serve and the balance suspended for five years. She was also ordered to pay $12,000 in restitution to the DTA. Pedroza had been in default since 2000 when she was arrested in January 2008 in New York. Pedroza and her former husband, Enrique Fernando Pedroza, used aliases to conceal a pattern of fraudulent insurance claims, including motor vehicle accident claims, homeowners’ property loss claims and workers’ compensation claims between 1993 and 1997. They misrepresented their identities, employment information, injuries and other relevant information to various insurance companies in pursuit of their claims. The pair also defrauded DTA of more than $50,000 in welfare benefits and food stamps by concealing income and assets, including the fraudulently obtained insurance settlements. Enrique Pedroza and a third co-defendant, Dardo Berrospe, remain in default.

4/16/08:  Robert Sasso, owner of R. Sasso & Sons Construction Co., pleaded guilty to three counts of workers’ compensation fraud, unemployment fraud and two counts of larceny. Sasso was sentenced to four years probation and ordered to pay a total of $27,928 restitution, $10,000 of which will be paid to his insurance provider. Sasso failed to disclose the amount of his full payroll and the true number of employees at his company during audits conducted by his insurance provider between 2003 and 2006. Investigation commenced when the DIA notified Sasso’s insurance provider that one of his employees had sustained a work-related injury. The insurance company’s records show that Sasso had not disclosed to the insurer that the injured man was an employee. An audit conducted in December 2005 revealed that Sasso paid this uninsured employee’s salary in cash. Further investigation revealed that Sasso failed to disclose other employees on his payroll. Investigation also revealed that Sasso collected unemployment benefits while employed on a part-time basis by the City of Revere. Sasso applied for and began receiving unemployment benefits in January 2002 and continued to receive checks at various times through April 2007. Each week that he collected unemployment benefits, Sasso notified the DUA that he was able and available to work and that he had not worked. During this same five year time period Sasso’s work permits indicated that for 32 weeks while collecting unemployment benefits he worked for the City of Revere plowing snow during the winter months. In total, Sasso collected $17,928 in unemployment benefits between 2002 and 2007.

4/16/08:  Charles Nisivoccia, Sean Nisivoccia, and Craig Klein, all of New Jersey, each pleaded guilty to two counts of conspiracy and two counts of filing a false motor vehicle insurance claim. The three men were each sentenced to two years in the House of Correction, 90 days to be served, with the balance suspended for two years. As part of their two years probation, they are required to perform 500 hours of community service. The three chiropractors participated in a scheme to defraud insurance companies by staging motor vehicle accidents.

4/15/08:  Michael Monahan pleaded guilty to tax evasion, mail fraud and identity theft related offenses. Monahan admitted that he and his former business partner failed to pay federal income, social security and Medicare taxes on more than $13 million in wages they paid to employees of three temporary employment businesses they operated and owned. Monahan also admitted that he and his partner avoided paying more than $365,000 in workers’ compensation insurance premiums from 2000 to 2004 by submitting applications to the WCRIB that falsely reported the number of employees who worked for the businesses, falsely described the work the employees performed and under reported the businesses’ estimated payroll.

4/9/08:  Dennis Bell pleaded guilty to insurance fraud, conspiracy to commit insurance fraud, attempted larceny and malicious destruction of property. He was sentenced to 2 ½ years in the House of Correction, suspended for two years with probation, and ordered to perform 40 hours of community service. Gina Driscoll pleaded guilty to insurance fraud, conspiracy to commit insurance fraud and attempted larceny. She was sentenced to two years probation and ordered to perform 50 hours of community service. Driscoll reported to her insurance carrier in December 2005 that a wooden barn on her property had collapsed, most likely due to strong winds. As part of her claim, Driscoll sought to collect the replacement value of the barn at approximately $27,500. The insurance carrier received an anonymous tip that the barn had been deliberately destroyed. Investigation found that eyewitnesses observed Driscoll’s live-in boyfriend, Bell, topple the barn with a snow plow attached to his pickup.

4/4/08:  Seven individuals, including two attorneys and two chiropractors, were indicted by an Essex Grand Jury in connection with their involvement in staging fraudulent motor vehicle accidents. The indictments stem from four separate staged motor vehicle accidents which were reported to have occurred between October 2002 and February 2003. The seven defendants, Leo M. Lopez, Omar Castillo, James C. Hyde, Socrates A. Delacruz, Michael H. Kaplan, Josue Jerez, and Troy L. Wheelwright, are charged as follows:

Leo M. Lopez
Motor Vehicle Insurance Fraud (5 counts)
Larceny Over $250 (2 counts)
Attempted Larceny Over $250 (3 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud (3 counts)
Conspiracy to Commit Larceny (3 counts)

Omar Castillo
Motor Vehicle Insurance Fraud
Larceny Over $250
Conspiracy to Commit Motor Vehicle Insurance Fraud
Conspiracy to Commit Larceny

James Hyde
Motor Vehicle Insurance Fraud (2 counts)
Larceny Over $250 (2 counts)
Attempted Larceny Over $250 (2 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud (2 counts)
Conspiracy to Commit Larceny (2 counts)

Socrates Delacruz
Motor Vehicle Insurance Fraud (5 counts)
Larceny Over $250 (5 counts)
Attempted Larceny Over $250 (4 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud (4 counts)
Conspiracy to Commit Larceny (4 counts)

Michael Kaplan
Motor Vehicle Insurance Fraud (3 counts)
Larceny Over $250 (2 counts)
Attempted Larceny Over $250 (2 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud (3 counts)
Conspiracy to Commit Larceny (3 counts)

Troy Wheelwright
Motor Vehicle Insurance Fraud (2 counts)
Larceny Over $250 (2 counts)
Attempted Larceny Over $250 (2 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud (2 counts)
Conspiracy to Commit Larceny (2 counts)

Josue Jerez
Motor Vehicle Insurance Fraud (2 counts)
Attempted Larceny Over $250 (2 counts)
Conspiracy to Commit Motor Vehicle Insurance Fraud
Conspiracy to Commit Larceny

The indictments allege that Lopez, Jerez and Castillo recruited individuals to participate in staged motor vehicle accidents in the Lawrence area. Investigators determined that these accidents never actually occurred, but were reported to insurance companies as actually having occurred. The recruited participants would give their vehicles to Lopez, Jerez or Castillo, who would then damage the vehicles so as to make it appear to the insurance companies that the vehicles had been involved in motor vehicle accidents. Two chiropractors, Michael Kaplan and Troy Wheelwright, allegedly participated in the scheme by recruiting individuals involved in these staged accidents and then submitting fraudulent insurance claims. Two attorneys, James Hyde and Socrates Delacruz, were also allegedly involved in the scheme. The two chiropractors and the two attorneys are alleged to have knowingly employed Lopez and Castillo to recruit claimants for these staged accidents, and then directed the recruits to the chiropractors and attorneys for unnecessary medical treatment and legal representation for accidents that never occurred. Both the attorneys and chiropractors allegedly submitted fraudulent injury claims and letters to the claimants’ insurance companies seeking payment for injuries they allegedly received in the staged accidents.

4/3/08: William Hoeg pleaded guilty to workers’ compensation fraud and larceny. He was sentenced to five years probation and ordered to pay $32,000 restitution. In 2004, while employed as a window and siding installer, Hoeg injured his back while at work. As a result of the injury, he began collecting temporary total workers’ compensation benefits. One year after his work injury, Hoeg reported no significant improvement in his medical condition to his employer’s insurer. In June 2005, Hoeg notified the insurance company that he did not earn any money from any other source during the period of time that he collected his workers’ compensation benefits. An investigation revealed on three occasions in June 2005 Hoeg was observed re-siding a garage. Later that month, the insurance company required Hoeg be seen by a doctor who reported that he was not disabled and able to work at full capacity. In July 2005, the insurer filed a complaint with the DIA to discontinue Hoeg’s workers’ compensation benefits. Further investigation revealed that Hoeg worked on multiple projects before, during and after his injury. Hoeg has been a licensed home improvement contractor since June 2000. In total, Hoeg fraudulently collected over $30,000 in workers’ compensation benefits.

3/27/08: Six people were indicted in connection with their participation in staging motor vehicle accidents to scam insurance companies. Investigation revealed that on various dates between May 2006 and June 2007, fraudulent claims involving three separate staged accidents were submitted to insurance companies. William Penta, Janet Vaccari, Deana Pistone, and Laura Battista allegedly knew David Forlizzi and Fred Battista, both employees of Winthrop Collision Center (aka Collision Headquarters), were willing to pay people to submit fraudulent motor vehicle insurance claims. Investigators believe that Forlizzi and Fred Battista schemed to collect insurance money from these staged accidents. Fred Battista was charged with three counts of motor vehicle insurance fraud, two counts each conspiracy to commit motor vehicle insurance fraud and larceny by false pretenses and one count of attempted larceny. Laura Battista was charged with two counts each motor vehicle insurance fraud, conspiracy to commit motor vehicle insurance fraud and larceny by false pretenses. Forlizzi was charged with three counts each motor vehicle insurance fraud and conspiracy to commit motor vehicle insurance fraud, two counts of larceny by false pretenses and one count each attempted larceny and habitual offender. Penta was charged with two counts of motor vehicle insurance fraud and one count each conspiracy to commit motor vehicle insurance fraud, larceny by false pretenses and attempted larceny. Pistone was charged with one count each of motor vehicle insurance fraud, conspiracy to commit motor vehicle insurance fraud and attempted larceny. Vaccari was charged with one count each motor vehicle insurance fraud, conspiracy to commit motor vehicle insurance fraud and larceny by false pretenses.

3/26/08: Ruben Ceballos was arrested and charged with motor vehicle insurance fraud, attempt to commit a crime and false report of a crime. Ceballos reported the alleged theft of his 1997 Dodge Caravan on August 3, 2004 to police and his insurer. Ceballos stated that the vehicle was locked and he was in possession of all keys to the vehicle. The Caravan was recovered the same day with the radio missing, body keyed, seats ripped and the dash broken. The vehicle was deemed a total loss by the insurance carrier. A forensic analysis determined that the security features of the steering column were not defeated and the correct key was needed to drive the vehicle. In addition, Ceballos allegedly made inconsistent statements regarding the theft of the automobile.

3/24/08:  Complaints were issued against Marvin Carter on charges of motor vehicle insurance fraud and attempt to commit a crime. On March 8, 2007, a Springfield man was driving a 1990 Honda Accord when he was involved in a motor vehicle accident. The man did not have a valid driver’s license at the time of the accident.  Carter, a friend of the Springfield man, was driving by the accident scene and stopped to help his friend. The Springfield man asked Carter to lend him his driver’s license which the man then used to provide information on the police report. Carter, who was not involved in the accident, allegedly submitted an injury claim and treated for alleged injuries sustained in the accident.

3/24/08:  A complaint was issued against Julia Flores on a charge of larceny. Flores filed a claim with her insurer on April 30, 2007 for vandalism to her 2007 Honda Accord. The insurer sent Flores a repair check in the amount of $1,459 but, in error, mailed the check to Flores’ former address. Flores notified the insurance carrier that she had not received the check and requested they would stop and reissue the check. A second check was issued at her request. However, someone cashed the first check before it was stopped. Flores again contacted the insurance carrier and allegedly claimed that she also had not received the second check and requested a third check be cut and issued directly to the repair shop. However, someone cashed the second check. Flores allegedly fraudulently cashed the second check and then requested the insurer stop and reissue the check for a third time.

3/21/08: John Stevens was arraigned on charges of workers’ compensation fraud and larceny for allegedly working and earning income while collecting temporary total workers’ compensation benefits and claiming to be totally disabled. Stevens sustained an ankle injury on May 5, 2005 during the course of his employment as a subcontractor and collected temporary total workers’ compensation benefits from May 11, 2005 through March 28, 2006. Investigation revealed that Stevens allegedly worked on two construction projects over a three month period from October 2005 through December 2005 and also during March 2006 and allegedly fraudulently collected a total of $9,720 in workers’ compensation benefits. On January 15, 2006, Stevens allegedly submitted an Employee Earning Report to the insurance company for the time period from May 2005 to December 2005 stating that he was entitled to benefits and earned no other wages. Investigation revealed that Stevens was allegedly paid $26,000 for the contract work completed on the two construction jobs during the time period in which he reported that he was not working.

3/20/08:  Laurence Moloney and his company, Shannon Construction Corporation, pleaded guilty to charges of failure to pay prevailing wages, failure to pay overtime, failure to provide true and accurate certified payroll records and failure to provide true and accurate records. The corporation also pleaded guilty to workers’ compensation premium evasion.  Both Moloney and Shannon Construction are ordered to pay $40,000 in fines and $210,000 in restitution.  In addition, Moloney and his company are subject to a three-year debarment from bidding or working on future public construction jobs.  Moloney is also sentenced to one year in the House of Correction if he fails to pay restitution, with the balance of that sentence suspended for three years.  Shannon Construction, for the workers’ compensation premium evasion charge, is fined $10,000 and ordered to pay $40,000 in restitution to the insurer.  Shannon Construction performed work on two separate public contracts for emergency sewer projects in the City of Boston.  Investigators found that although Shannon’s certified payroll records indicated that approximately 70 employees were paid the prevailing wage, the regular payroll records indicated that these employees were paid at a rate lower than the state’s prevailing wage.  Shannon employees were also not being paid overtime wages they had earned.  Furthermore, it was determined that the discrepancy in payroll amounts was not reported to the company’s workers’ compensation carrier.  The intentional failure to report this amount allowed Shannon to avoid paying higher worker’s compensation insurance premiums.

3/18/08: Complaints were issued against six individuals on insurance fraud charges for their alleged involvement in an April 9, 2003 staged motor vehicle accident. All individuals treated for alleged injuries sustained in the accident. Statements made by individuals involved in the alleged accident were inconsistent. Ramon Espinal is charged with motor vehicle insurance fraud, conspiracy to commit insurance fraud and attempted larceny. Roseangel Reyes is charged with two counts of motor vehicle insurance fraud and conspiracy to commit insurance fraud, larceny and attempted larceny. Nelly Baez Hernandez and Maximo Romero are each charged with two counts of motor vehicle insurance fraud and one count each conspiracy, larceny and attempt to commit a crime. Frank Joga is charged with two counts of motor vehicle insurance fraud, two counts of attempt to commit a crime and one count of conspiracy. Rafael Lopez is charged with three counts of motor vehicle insurance fraud, two counts of larceny and one count each attempted larceny and conspiracy.

3/13/08:  Complaints were issued against Carla Fernandes and Belinda Fernandes.  Each is charged with motor vehicle insurance fraud, larceny and conspiracy.  On January 11, 2005, Belinda Fernandes, while driving her sister Carla’s 1996 Ford Taurus, backed into a 2003 GMC Van causing damage to both vehicles.  The Taurus was insured by Carla Fernandes and she is the only listed operator on the policy.  Carla reported the accident to her insurer and initially allegedly claimed that her sister did not have permission to drive the vehicle.  Both sisters made inconsistent statements regarding whether or not Belinda had permission to drive her sister’s vehicle and allegedly intentionally misrepresented facts in the presentation of their claim in order to obtain coverage for the damage to the vehicle. 

3/13/08:  Complaints were issued against Bobby Perez Sr. and Bobby Perez Jr.  Perez Sr. was charged with one count each motor vehicle insurance fraud, larceny and conspiracy.  Perez Jr. was charged with one count each conspiracy and attempt to commit a crime.  Perez Jr. was involved in a February 22, 2007 motor vehicle accident while driving his 2004 Dodge Neon and was transported by ambulance to a nearby hospital.  Perez Jr. completed and submitted a PIP form reporting injuries sustained in the accident.  Investigation revealed that the Dodge Neon was owned by and registered to Perez Jr. but insured in his father’s name.  Perez Sr. allegedly intentionally obtained and signed for an automobile insurance policy to insure his son’s vehicle to help Perez Jr. avoid paying a higher/accurate insurance premium. 

3/12/08:  Albania Deleon was indicted on allegations that she ran an under-the-table payroll through her temporary employment agency that enabled her to evade payment of payroll taxes and workers’ compensation insurance premiums.  Deleon was indicted on six counts of mail fraud, one count of conspiracy, five counts of making false statements and 16 counts of procuring false tax returns.  Deleon owned and operated Environmental Compliance Training (ECT), a certified asbestos training school, from approximately 2001 to 2006.  Under federal and state law an individual must complete a 32-hour introductory training course in order to work in the asbestos abatement industry.  ECT normally offered these courses on a weekly basis.  Nevertheless, many of the recipients of the certificates allegedly never took the required course.  Instead, ECT’s office employees allegedly issued certificates of course completion to numerous individuals who did not take the course.  These individuals filed the certificates with the Division of Occupational Safety in order to be authorized to work in the asbestos removal industry. Deleon allegedly sought to cover up ECT’s practice of issuing certificates to untrained applicants by having the applicants sign final examination answer sheets that already had been completed and graded.  Many of the untrained certificate recipients were allegedly directed to work for Methuen Staffing, Deleon’s temporary services company that specialized in asbestos removal.  Deleon allegedly paid most of these employees under-the-table, without taxes withheld, and reported to the IRS and her workers’ compensation insurance carriers only those employees that actually had taxes withheld.  Deleon allegedly saved more than a million dollars in tax and insurance payments.

3/7/08: Mercy Encarnacion and Damaris Matos pleaded guilty in connection with an insurance fraud scheme that included the staging of two motor vehicle collisions in Worcester. Encarnacion and Matos both pled guilty to two counts of motor vehicle insurance fraud and four counts of conspiracy to commit motor vehicle insurance fraud. Each was sentenced to a two and a half year sentence in the House of Correction, six months to serve, with the balance suspended for five years on each charge. These sentences will run concurrently. Following their incarceration, both are ordered to serve five years of probation, during which they must submit to random drug testing, stay away from Commonwealth witnesses, and seek and maintain employment. On various dates in May 2004, Encarnacion and Matos recruited individuals to participate in staged motor vehicle accidents. These individuals would then file fraudulent insurance claims against their auto insurance carriers, for injuries they claimed to have received in these accidents, and for lost wages due to their injuries.

2/27/08:  Ralph Fontus admitted to sufficient facts on charges on motor vehicle insurance fraud.  His case was continued without a finding for one year and he was ordered to pay $1,000 restitution.  Fontus reported that his 2001 VW Golf was allegedly damaged by a hit-and-run driver on July 8, 2005.  He was paid $1,477 for repairs to the vehicle.  Investigation revealed, however, that Fontus’ vehicle was impounded and held in storage until July 9, 2005.  The damage to the vehicle was pre-existing from a June 19, 2005 loss when it was Fontus’ who allegedly rear ended another vehicle and left the scene of the accident. 

2/25/08:  Paul Gilliam admitted to sufficient facts and his case was continued without a finding for one year.  He was ordered to pay restitution of $1,354.  Rudolph Goodwyn admitted to sufficient facts and his case was continued without a finding for six months.  He was ordered to pay $2,963 restitution.  Gilliam, while driving his 1993 Chevrolet Blazer, was involved in a three vehicle chain reaction rear-end collision on December 19, 2005.  He claimed Goodwyn and a third subject as alleged passengers in the Blazer at the time of the accident.  Occupants of the other two vehicles involved in the accident reported that Gilliam was the only occupant of the Blazer.

2/20/08:  Douglas Poole was arrested in Florida on a default warrant and transported to Massachusetts.  He was arraigned on three counts of workers’ compensation fraud and one count of larceny.  Poole was ordered held on $30,000 bail.  Poole was injured in a fall sustained at work on September 14, 1992 while employed by a construction company.  He applied for and began receiving workers’ compensation benefits through the DIA from September 1992 through May 2006.  On three separate occasions Poole submitted Employee Earnings Reports to the DIA stating that he was entitled to benefits and earned no other wages.  An investigation revealed that Poole was allegedly paid on three separate occasions for jobs he held during the time period in which he reported to the DIA that he was not working.

2/13/08:  After a two-and-half week trial, Daniel McElroy and Aimee King McElroy were found guilty of one count of conspiring to defraud the IRS and their workers’ compensation insurers, three counts of mail fraud and fourteen counts of procuring false payroll tax returns.  Sentencing is scheduled for May 21, 2008.  From the early 1990s to June 2001, the McElroys operated a temporary employment agency that did business under the names Dan Agency, the Daily Agency, Daily A. King Labor, Inc., Pro Temp. Company, PTC and Precission (sic) Temp. Corp.  To avoid paying employment taxes and to fraudulently reduce the businesses’ insurance premiums for workers’ compensation insurance, the KcElroys arranged to pay a large share of the businesses’ payroll in cash.  In excess of $43 million in unreported cash was paid out to employees as a result of the scheme.  This represents the largest under-the-table payroll scheme ever prosecuted in Massachusetts.  The hidden payroll resulted in a loss of approximately $10 million to the IRS and approximately $7 million to workers’ compensation insurance companies. 

2/12/08:  Pedro Montero pleaded guilty to two counts of motor vehicle insurance fraud.  He was placed on probation for two years and ordered to pay $3,478 restitution.  On May 2, 2003 another subject’s 1996 Chevrolet Lumina was lightly struck in the rear by a 1996 Buick driven by a Springfield woman.  The subject reported to her insurer that she had four passengers in her vehicle at the time of the accident; all claimed injuries sustained in the accident.  Conflicting statements regarding the accident given by the passengers led the insurer to deny all claims.  Montero was one of the jump-in passengers claiming injury.  Two women in this case have previously pleaded guilty. 

2/12/08:  Complaints were issued against David Ikanian on charges of motor vehicle insurance fraud, attempt to commit larceny, false report of a crime and false report of a motor vehicle theft.  Ikanian reported to police and his insurer the alleged theft of his 1998 Honda Prelude on April 2, 2007 from a mall parking lot.  Ikanian stated that the vehicle was locked and that he was in possession of all keys to the vehicle.  The Honda was recovered the following day.  Ikanian allegedly admitted that he falsified the report of theft. 

2/8/08:  Christopher Falco was convicted of two counts of motor vehicle insurance fraud, two counts of larceny and perjury.  He was sentenced to two years in the House of Correction, with six months to serve, and the balance suspended for three years.  He must also submit to random drug screening during his probation.  In April 2004, Falco obtained insurance coverage for his two vehicles.  In his application, Falco listed a deceased individual as the sole operator of the vehicles.  The deceased individual had a Step 9 rating and qualified for a 25% senior citizen discount.  At the time of the application, Falco was a habitual traffic offender with a Step 29 rating.  As a result of Falco’s misstatements on his application, the insurance carrier issued a policy to Falco at a rate based on the deceased individual’s driving record and the premium charged to Falco was nearly $2,000 less than the premium that would have been charged using Falco’s Step 29 rating.  When the insurer discovery the inaccuracies in Falco’s application, they deleted the deceased person from the policy and re-rated the policy based on Falco’s driving record.  At that point, Falco canceled his policy and transferred it to another insurance company. At the time of transferal, Falco owed the first insurer nearly $1,500 in earned premiums on a pro-rated basis. On his new application, Falco made numerous misstatements including failure to disclose that his license had been revoked, that he owed a premium to another insurance carrier and that his first policy had been canceled for non-payment of the premium.  Falco also did not disclose the use of one of the vehicles for business purposes.  If the second insurer had been given this information, they would not have issued Falco a policy.  Falco was charged with perjury for the alleged misstatements he made in January 2006 when he testified at a deposition held in connection with a civil lawsuit that he filed against the second insurer.  The misstatements relate to the information he provided in his application for insurance. 

2/5/08:  The cases against Ivelisse Maldonado and Zaida Oyola were continued without a finding for one year.  Oyola was also ordered to pay $1,747 restitution.  Oyola had been charged with two counts of motor vehicle insurance fraud and one count of larceny.  Maldonado had been charged with one count of motor vehicle insurance fraud. Maldonado reported that on December 20, 2004, while operating a 1988 Toyota Corolla owned by Oyola, she was rearended by another vehicle.  Maldonado reported one passenger in her vehicle at the time of the accident.  Oyola was a jump-in passenger in the Toyota and claimed alleged injuries sustained in the accident. 

1/24/08:  Complaints were issued against Maria Rodriguez-Alvelo on two counts of motor vehicle insurance fraud and one count each attempt to commit a crime, conspiracy and false report of a crime.  Rodriguez-Alvelo reported that her green 1999 Ford Mustang was allegedly hit on January 27, 2007 by an unidentified vehicle which then fled the scene.  Police responded to the scene and Rodriguez-Alvelo was transported by ambulance from the accident scene.  Also on January 27, 2007, a Holyoke woman reported to police that her 2006 Chevrolet Cobalt had been struck by a green Ford Mustang the night before when the Mustang ran a stop sign.  After this collision, two men exited the Mustang and exchanged information with the Holyoke woman.  The men allegedly requested no police be called to the scene.  A forensic examination of the Ford Mustang and Chevrolet Cobalt concluded the two vehicles had reciprocal damage and the accident scenario as reported by Maria Rodriguez-Alvelo could not have happened as she reported.

1/22/08:  Eddy Ekanem pleaded guilty to one count of embezzlement by a broker and four counts of larceny.  He was sentenced to 2 ½ years in the House of Correction with six months to service and the balance suspended and ordered to pay $49,548 restitution within 90 days.  If he pays the full restitution within the 90 days, the committed portion of the sentenced will be suspended and he will be required to pay a $90 victim witness fee for each victim and stay away from and not have contact with any of the victims.  Ekanem was employed with Boston Mutual Life Insurance Company as an agent selling life insurance policies from October 1989 through March 2001.  Between January 1999 and October 2001, Ekanem collected premium payments from five Boston Mutual life insurance policyholders, three of which were senior citizens, but failed to turn over the premium payments to Boston Mutual.  Additionally, Ekanem collected money from four customers for the purchase of annuities from Boston Mutual.  Boston Mutual does not sell annuities and Ekanem did not purchase annuities for the four customers.  In total, Ekanem fraudulently collected $49,547 from clients which he then used for his own personal benefit.  His insurance agent license has been revoked by the Division of Insurance. 

1/9/08:  Michael Minnehan pleaded guilty to three counts of larceny over, three counts of larceny over from a victim over 60, four counts of impersonation of an insurance agent, one count of forgery and one count of uttering.  Minnehan was sentenced to serve 5-7 years in state prison and 15 years probation.  He was also ordered to pay $466,000 restitution.  Minnehan, a former insurance agent, voluntarily surrendered his agent’s license to sell insurance for questionable practices with clients, in particular the elderly, to the Division of Insurance in May 2000.  Minnehan continued to sell insurance after the surrender of his license.  Milford police contacted the IFB and a joint investigation revealed that Minnehan had taken substantial amounts of monies from numerous clients and deposited these monies into a variety of personal accounts.

1/9/08:  Cases against Richard and Susan Strauss were continued without a finding for six months.  Each was ordered to pay a $50 victim witness fee and $21 court fee.  Richard Strauss had been charged with one count each insurance fraud, attempted larceny and conspiracy.  Susan Strauss had been charged with one count of conspiracy.  On October 9, 2003, the Strausses’ Florida condominium sustained water damage as a result of a burst water pipe.  As part of this claim, Richard Strauss submitted dry cleaning receipts from a Framingham dry cleaner as proof of damages of clothing worth $2,945 stored in the Florida condo.  Investigation revealed that the clothing was never brought to the cleaners however the Strausses did ask for and received blank receipts from the cleaners.  The receipts submitted to the insurer as proof of loss were falsified by the Strausses. 

1/9/08:  Complaints were issued against Janice Cole on charges of insurance fraud, larceny and filing a false police report.  On February 8, 2004 Cole reported to police and her insurer the alleged theft of her 2003 Kia Rio from a street near her apartment.  She was paid $8,126 for her theft loss claim.  The vehicle was subsequently recovered with both interior and exterior damage.  A forensic analysis of the vehicle determined that there was no damage to the steering column or ignition lock, no signs of forced entry and that the correct ignition key was required to move the vehicle. 

1/3/08:  Christopher Mersereau and his corporation, Stoneymeade Farm LLC, were each indicted on two counts of workers’ compensation insurance fraud and one count of larceny for allegedly providing inaccurate information and withholding information from his insurer in order to avoid payment of workers’ compensation insurance premiums.  An investigation revealed that in November 2003 an employee of the horse farm sustained injuries when a large bale of hay fell on his head and shoulders.  The injured employee filed a workers’ compensation claim with the company’s insurance carrier.  While processing the claim the insurer learned that the injured employee was paid wages partly by check, but mostly in cash by Mersereau.  Investigators also discovered that other farm employees were paid by check and in cash, but that Mersereau never disclosed the cash portion of the farm’s payroll to the insurer.  Gross payroll (whether paid by check or in cash) is an integral component in the calculation of the amount of premium payable on a workers’ compensation insurance policy.  As a result of the fraudulent payroll scheme, Mersereau defrauded the insurer of nearly $10,000 in workers’ compensation insurance premiums that it was legitimately owed from November 2002 through November 2004.  The insurance carrier also had to pay workers’ compensation benefits to the injured employee based on the total wages he received in checks and cash.  Mersereau allegedly failed to report the wage payments made to the injured employee in cash.  Later, at an audit conducted by the insurer in December 2004, Mersereau allegedly claimed that his farm employees were not paid in cash, but by check, during the policy periods.  Mersereau never disclosed the cash portion of the farm’s payroll to an insurance auditor.   Subsequently, Mersereau amended the farm’s state and federal tax filings to include cash wage payments made by the farm to its employees.  However, Mersereau never amended the representations he made to the insurance auditor and never corrected the payroll information that he disclosed at the audit or in the wage statement he submitted to the insurance carrier.

12/5/07: Anthony Trabal, a Springfield police officer, was indicted on one count of motor vehicle insurance fraud and two counts of attempted larceny.  On June 7, 2004, Trabal was in a car accident while off-duty and was injured.  He was treated for his injuries at a local area rehabilitation center.  Medical records from the treatment center show that Trabal received treatment for his injuries on September 30, 2004, and then again on March 15, 2005.  While injured, Trabal did not report to work for the Springfield Police Department during the period of June 2004 through March 20, 2005. Trabal was paid for his earned vacation and sick leave from June 2004 until October 1, 2004, after which his disability benefits expired.  Trabal then took an additional six months of leave time.  Trabal submitted a claim to the City of Springfield for back wages covering the additional six-month period that he was out of work, and for which he was not paid.  To support this claim, Trabal allegedly submitted fabricated disability certificates to the Springfield Police Department.  The claims were then sent to an administrator of benefits for the City of Springfield, who denied the claims.  After being denied compensation by the City of Springfield, Trabal submitted an insurance claim for lost wages to the insurance company for the other vehicle involved in Trabal’s June 2004 accident.  Following receipt of disability certificates without corresponding medical records, the insurer allegedly determined the certificates were fabricated. 

11/29/07: S.V. Raleigh Corporation and its president and owner Stephen V. Raleigh pleaded guilty to insurance fraud related charges.  S.V. Raleigh Corporation pleaded guilty to three counts of workers’ compensation fraud, three counts of larceny, one count of unemployment fraud and one count of failure to provide workers’ compensation insurance.  Stephen Raleigh pleaded guilty to one count of workers’ compensation fraud, one count of larceny and two counts of conspiracy.  Sentencing and a restitution hearing are scheduled for February 28, 2008.  From 2000 through 2002, S.V. Raleigh Corporation misrepresented the nature of its business and grossly underreported its payroll to insurance auditors.  These alleged misrepresentations defrauded AIM and the WCRIB of more than $100,000 in workers’ compensation insurance premiums.  Raleigh made numerous misstatements to insurance auditors and an insurance agent over several policy periods and failed to disclose the true nature of the company’s business and withheld accurate payroll information from the auditors.  The company also allegedly failed to provide workers’ compensation insurance coverage for its employees from July 1998 until May 2000. 

11/28/07:  Charles Wallace was sentenced to five years in federal prison for his role in assisting a massive tax and insurance fraud scheme conducted by Daily A. King Labor, Inc., Pro Temp Company and Precission Temp Corp.  The agencies paid employees over $39 million in cash under-the-table in order to evade millions of dollars in payroll taxes and workers’ compensation premiums.  In March 2005, Wallace pled guilty to charges that he conspired with others to evade taxes and to commit mail fraud by deceiving workers’ compensation insurers regarding the size and payroll of their business.  From 1993 to June 2001, Wallace served as an accountant for, and helped to operate the temporary employment agencies.  To avoid employment taxes and to fraudulently reduce the businesses’ insurance premiums for workers’ compensation insurance, the defendants arranged to pay a large share of the businesses’ payroll in cash.  In excess of $39 million in unreported cash was paid out to employees as a result of the scheme.  Two other subjects are scheduled for trial in January 2008.  A third subject previously pled guilty and was sentenced to 2 years probation. Another subject pled guilty and is awaiting sentencing. 

11/26/07:  Jose Nieves was found guilty of two counts of motor vehicle insurance fraud.  He was sentenced to one year in the House of Correction, suspended, and ordered to perform 200 hours of community service.  He was also ordered to pay a $1,000 fine plus a $250 surfine.  On October 24, 2004, Nieves reported that a hit-and-run driver, traveling approximately 100 miles an hour, hit the driver’s side of his 2000 Saturn SL and fled the scene.  A forensic analysis of the Saturn determined that the damage to the vehicle was not caused by contact with another vehicle but was consistent with hitting a utility pole. 

11/16/07:  A Walpole lawyer, his business, and his business associate, were indicted on 282 counts of committing insurance fraud, larceny, attempted larceny, forgery and uttering.  Bruce Namenson, his law firm Namenson & Associates and Gerald Schena were each indicted on charges of motor vehicle insurance fraud (22 counts), conspiracy to commit motor vehicle insurance fraud (22 counts), larceny (20 counts), forgery (14 counts), uttering (14 counts) and attempted larceny (2 counts).  Janet Dejesus, a former employee of Namenson, was indicted on one count each motor vehicle insurance fraud, conspiracy to commit motor vehicle insurance fraud, attempted larceny, and perjury.  Namenson allegedly recruited a local chiropractor to work at Advanced Chiropractic, which was managed by Schena.  Namenson, an attorney with a personal injury practice, represented clients who had been injured in car accidents.  These clients were treated for their injuries at Advanced Chiro.  During this period, and without the chiropractor’s knowledge, Schena allegedly altered treatment notes and forged the chiropractor’s signature, making it appear as though patients were treated more times than they actually were.  In addition, Schena made it appear that Namenson’s clients who never received treatment at Advanced Chiro were treated there.  Schena and Namenson allegedly submitted the altered notes and inflated bills to insurance companies, which paid Advanced Chiro.  Namenson allegedly used these notes and bills to make it appear that his clients had reached PIP or tort threshold, made personal injury claims against insurance companies, and collected personal injury settlements.  Furthermore, Advanced Chiropractic billed OneBeacon Insurance Company for treatment allegedly provided to Dejesus.  Namenson made a bodily injury claim to the insurer on Dejesus’ behalf.  Upon further investigation it was revealed that Dejesus was never treated at Advanced Chiro, and that treatment notes submitted to the insurance company were false.  Dejesus and Namenson still claimed to OneBeacon that she had been treated at Advanced.  During her testimony before the grand jury, Dejesus allegedly lied, claiming that she was treated at Advanced Chiro. 

11/14/07:  Robert Sasso, owner of R. Sasso & Sons Construction Co., was indicted on three counts of workers’ compensation fraud, 32 counts of unemployment fraud and two counts of larceny.  Sasso allegedly failed to disclose the amount of his full payroll and the true number of employees at his company during audits conducted by his insurance provider between 2003 and 2006.  Investigation commenced when the DIA notified Sasso’s insurance provider that one of his employees had sustained a work-related injury.  The insurance company’s records show that Sasso had not disclosed to the insurer that the injured man was an employee.  An audit conducted in December 2005 revealed that Sasso allegedly paid this uninsured employee’s salary in cash.  Further investigation revealed that Sasso allegedly failed to disclose other employees on his payroll.  Investigation also revealed that Sasso collected unemployment benefits while employed on a part-time basis by the City of Revere.  Sasso applied for and began receiving unemployment benefits in January 2002 and continued to receive checks at various times through April 2007.  Each week that he collected unemployment benefits, Sasso allegedly notified the DUA that he was able and available to work and that he had not worked.  During this same five year time period Sasso’s work permits indicated that for 32 weeks while collecting unemployment benefits he allegedly worked for the City of Revere plowing snow during the winter months.  In total, Sasso allegedly collected $17,928 in unemployment benefits between 2002 and 2007. 

10/19/07:  Complaints were issued against Olga Rich on charges of motor vehicle insurance fraud and larceny.  A Brockton man was operating his 1998 Toyota when he collided with a 1995 Buick LeSabre on February 14, 2007.  The Brockton man and his passenger were injured and treated for injuries sustained in the accident.  The insurance carrier received physical therapy bills from two different physical therapy facilities with overlapping treatment dates and payments.  Investigation revealed that the passenger did treat at a physical therapy facility but had initially visited South Coastal Physical Therapy and filled out paperwork but allegedly never treated at that facility.  Olga Rich, owner of South Coastal, allegedly falsely billed the insurance carrier for physical therapy for the passenger which was never performed.

10/10/07: Complaints were issued against Mildred Molina, Edwin Collazo, Hector Gonazalez and Fatima Alcantara.  Each was charged with motor vehicle insurance fraud, larceny and conspiracy for their roles in an alleged staged motor vehicle accident.  Molina reported that while operating her 1990 Nissan Maxima on May 11, 2003 she was struck by a 1991 Nissan 240SX which was driven by Collazo.  Gonzalez and Alcantara were reported as alleged passengers in the Nissan 240SX. 

10/4/07:  Nine people were charged with a total of 38 counts of insurance fraud-related charges for their alleged involvement in a staged motor vehicle accident in Lawrence.  Arrest warrants were issued for Jose Manuel Polanco, Gina Quinones, Jhan Polanco, Rhina Alvarez, Virginia Alvarez and Luis Rodriguez.  Janet Jimenez, Andy Joel Ortiz and Louis Norris will be summonsed to court. The nine individuals were allegedly the drivers or passengers in three vehicles which were allegedly involved in an intersection collision on November 8, 2002.  No police, fire or ambulances were called to the accident scene despite reports of six individuals allegedly sustaining injuries.  It was reported that a 1992 Toyota Camry ran a stop sign causing a 1993 BMW to strike the Camry.  The 1992 Isuzu Trooper, traveling behind the BMW, struck the BMW in the rear.  There were numerous discrepancies in the statements of the nine individuals regarding the events of the alleged accident.  Additionally, a forensic analysis of the three vehicles determined that the three vehicles were not involved in reciprocal collisions as reported.

10/4/07: Ronald Evano was sentenced to 63 months imprisonment followed by three years supervised release and ordered to pay $347,038 in restitution.  Evano had pleaded guilty in his role in a fraudulent scheme in which he submitted false insurance claims that he ingested glass found in food he had eaten at restaurants and grocery stores in Massachusetts, Rhode Island, Maryland, Virginia and the District of Columbia.  His wife, Mary Evano, who has also been charged in the case, is a fugitive.  From at least August 1997 through June 2005, the Evanos falsely claimed that various hotels, restaurants and supermarkets had served them food with glass particles.  Although in some instances the Evanos may have actually ingested glass particles, those glass particles did not come from food served by the restaurants, hotels and supermarkets.  Rather, the Evanos intentionally ingested the glass particles and then falsely claimed that the restaurants, hotels and supermarkets had caused the particles to be in food that they were served.  In connection with their scheme, the Evanos submitted their various glass ingestion claims under a variety of identities, using false identification and false social security number information.  Through their fraudulent scheme, the Evanos obtained in excess of $200,000 and incurred over $100,000 in medical bills, which are unpaid to date. 

10/4/07: Jaysun Blasko admitted to sufficient facts on charges of motor vehicle insurance fraud, attempted larceny and perjury: false report of motor vehicle theft.  The case was continued without a finding for 364 days.  Blasko was ordered to pay $1,943 restitution.  Blasko reported to police and his insurance carrier the alleged theft of his 2005 Chrysler Sebring Coupe on January 9, 2007 from the parking lot of his place of employment.  The vehicle was recovered the next day. A forensic evaluation determined there was no forced entry damage, the vehicle’s steering column was functionally intact with its security features uncompromised and the transponder key and remote control anti-theft systems were undefeated. 

10/4/07: Complaints were issued against Jessica Nieves on charges of motor vehicle insurance fraud and attempt to commit a crime.  Nieves reported to her insurer that she and two passengers were allegedly involved in a motor vehicle accident on December 4, 2006.  Nieves claimed that she was allegedly sitting in the driver’s seat of her 2001 Honda Accord when she was hit in the rear by another vehicle.  Investigation revealed that a friend was the operator of the Honda at the time of the accident and Nieves was not involved in the accident. 

10/2/07: Arthur Tenaglia and his business, the Allstate Company, Inc., each pleaded guilty to charges of failure to pay the proper prevailing wages and workers’ compensation fraud.  In addition, Tenaglia and Allstate agreed to accept a citation for misclassification of workers.  Tenaglia was sentenced to three years of probation.  He and his company must pay a $10,000 fine, and were ordered to make full restitution in the amount of $15,000 in wages to three of their employees.  Restitution in the amount of $100,000 must also be paid to their workers’ compensation insurance provider.  Tenaglia and the Allstate Company are barred from public works projects for the next five years.  Investigation revealed that from 2001 to 2005, Tenaglia and his company unlawfully classified employees as independent contractors.  In addition, Tenaglia and his company willfully failed to pay the proper wages to their employees on a Plymouth County public construction project.  On this project, the company’s payroll amount was fraudulently understated, resulting in the payment of lower workers’ compensation premiums. 

10/1/07: William Hoeg was indicted on charges of workers’ compensation fraud and larceny.  On June 7, 2004, while employed as a window and siding installer, Hoeg injured his back.  As a result of the injury, he began collecting temporary total workers’ compensation benefits.  One year after his work injury, Hoeg reported no significant improvement in his medical condition to his employer’s insurer.  In June 2005, Hoeg allegedly notified the insurance company that he did not earn any money from any other source during the period of time that he collected his workers’ compensation benefits, including the time period that he had worked.  An investigation revealed on three occasions in June 2005 Hoeg was observed re-siding a garage.  Later that month, the insurance company required Hoeg be seen by a doctor who reported that he was not disabled and able to work at full capacity.  In July 2005, the insurer filed a complaint with the DIA to discontinue Hoeg’s workers’ compensation benefits.  Further investigation revealed that Hoeg worked on multiple projects before, during and after his injury resulting in his receipt of workers’ compensation benefits.  Hoeg has been a licensed home improvement contractor since June 2000.  In total, Hoeg fraudulently collected $42,382 in workers’ compensation benefits.

9/28/07: Sean McCarthy admitted to sufficient facts on charges of motor vehicle insurance fraud, attempted larceny and failure to stop after a collision.  His case was continued without a finding for one year.  McCarthy reported to his insurance carrier that on October 15, 2006 he struck a deer while operating his 2004 Honda Civic in Bourne, MA.  On October 14, 2006, Boston police responded to a call from a woman reporting that her vehicle had incurred damage while parked overnight at her Roxbury residence.  Pieces of the vehicle debris were found at the scene and produced a VIN which matched McCarthy’s Honda Civic. 

9/25/07: Tina Le, Steven Nguyen and Mercedes Acar were sentenced for their roles in the largest under-the-table payroll scheme prosecuted in Massachusetts.  They had pleaded guilty in May 2007 to tax and insurance fraud.  Le was sentenced to 97 months incarceration, Nguyn sentenced to 87 months incarceration and Acar sentenced to 70 months incarceration.  The defendants also agreed to forfeit to the government their Quincy home, a Dorchester office building, a Brockton warehouse, as well as bank accounts and luxury automobiles.  From December 1995 through the end of 2004, the defendants owned and operated a temporary employment agency that employed hundreds of workers who performed manual labor at factories and warehouses.  The defendants would paid most of their employees in cash and did not report the cash payments to the IRS thus failing to pay payroll taxes and to withhold taxes from their employees’ pay.  Over the course of the conspiracy, the unreported cash payroll totaled approximately $30 million. The defendants also defrauded their workers’ compensation insurers by fraudulently reducing their insurance premiums by concealing their cash payroll from the insurers. 

9/21/07: Three people were indicted in connection with an insurance fraud scheme that included the staging of two motor vehicle collisions in Worcester.  Eric Bonnette, Mercy Encarnacion and Damaris Matos were each charged with two counts of motor vehicle insurance fraud and four counts of conspiracy to commit motor vehicle insurance fraud.  Additionally, Bonnette was charged with one count of assault and battery.  The three were previously charged in Middlesex County on similar charges for alleged staged accidents in the Lowell area.  The current charges resulted when on May 7, 2004 and May 26, 2004 Bonnette, Encarnacion and Matos allegedly recruited individuals to participate in staged accidents in Worcester.  These individuals would then file fraudulent insurance claims against their auto insurance carriers for injuries they would claim to have received in the accidents and for lost wages due to the injuries.  On one occasion, Bonnette was allegedly involved in a physical altercation with one of the individuals who participated in a staged accident but did not want to file insurance claims.

9/21/07: Luigi Campobello was indicted on charges of motor vehicle insurance fraud, larceny, false report to police and false report to police of a motor vehicle theft.  On July 21, 2005 Campobello filed a loss notice with his insurance agency reporting that his 2005 Jeep Wrangler was allegedly stolen the previous day in Hyannis.  Campobello and the lien holder were paid a total of $19,208 for the alleged theft of the Jeep.  The vehicle was recovered on December 12, 2005 in Springfield.  Investigation revealed that the vehicle was not stolen but instead allegedly stored at the Springfield home of a relative of Campobello. 

9/20/07: The case against Francisco Pena was continued without a finding for one year on charges of motor vehicle insurance fraud and false report to police.  A motor vehicle accident report was completed by police on July 14, 2003 reporting Pena’s 2000 Honda Accord was involved in an early morning accident.  The operator of the Honda struck a concrete barrier and then abandoned the vehicle.  On that same day Pena stated he parked his vehicle by his aunt’s South Boston home.  The next morning he discovered the vehicle missing and reported the alleged theft to police and his insurance company.  An accident reconstruction determined that the vehicle’s mechanical and electronic security features were not defeated and the correct, registered, transponder key was required to operate the Honda.  Pena stated he had locked the vehicle and had all keys in his possession.  There was no evidence of forced entry to the Honda. 

9/14/07: Complaints were issued against Modesta Marquez.  She was charged with motor vehicle insurance fraud, larceny and garaging misrepresentation.  On April 15, 2007, Marquez’s parked 1996 Jeep Grand Cherokee was struck by another vehicle when the driver attempted to avoid a pedestrian.  The Jeep sustained damage to the entire passenger side.  Subsequent to the accident the insurance company determined that Marquez allegedly resided in Holyoke and not Northampton as she had represented on her automobile insurance application.  Due to this garaging misrepresentation, Marquez allegedly fraudulently saved $1,693 on her insurance premiums. 

9/10/07: The case against Adam Chaffee was continued without a finding for six months.  He had been charged with motor vehicle insurance fraud and attempt to commit a crime.  Chafee was ordered to pay $500 in court costs, $126 in probation fees and a $90 victim witness fee.  Chaffee reported to his insurance carrier that he had parked his 2001 Nissan Xterra at his place of business on March 11, 2006 when an unidentified vehicle hit the passenger side of the vehicle and fled the scene.  A forensic examination of the Nissan determined that the Nissan was moving forward when damaged and made contact with a fixed object.  There were other inconsistencies in statements made by Chaffee regarding the reported accident. 

9/6/07: The case on motor vehicle insurance fraud against Jesse Catino was continued without a finding for one year.  He was ordered to pay $3,000 restitution.  Catino reported the alleged theft of his 1996 BMW 328I on August 8, 2003.  The vehicle was recovered the same day.  When recovered the vehicle had heavy right front damage and had been set on fire.  A forensic analysis determined that the vehicle could not have been moved without the correct key.  Catino stated he was in possession of the only key to the vehicle. 

8/23/07: Complaints were issued against Frederick Matta on charges of motor vehicle insurance fraud, larceny and conspiracy.  On 8/24/07, Antonio Marcelino was charged with motor vehicle insurance fraud and conspiracy.  A Brockton man, while operating his 1990 Chevy Beretta Coupe on April 15, 2003, reported he was hit by a 1992 Dodge Caravan.  The man reported no passengers in his vehicle.  Matta subsequently submitted a PIP claim and received chiropractic medical treatment for alleged injuries he reported that he sustained in the April 15, 2003 motor vehicle accident.  A police officer at the scene observed the accident and reported seeing only the driver in the Chevy Beretta.  The driver of the other vehicle also observed only the driver in the Chevy Beretta at the time of the accident.  Marcelino allegedly helped complete the accident report for the Brockton man and added Matta as a passenger in the vehicle at the time of the accident. 

8/23/07: Complaints were issued against Julia Pucciarelli and Daniel Clouser.  Pucciarelli was charged with motor vehicle insurance fraud, attempt to commit a crime, burning a motor vehicle, perjury and conspiracy.  Clouser was charged with motor vehicle insurance fraud, attempt to commit a crime, burning a motor vehicle and conspiracy.  On April 15, 2005, the Brockton Fire Department was alerted of a passenger vehicle fire and a fire was extinguished on a 1994 Volkswagen Jetta, owned by Pucciarelli.  The vehicle fire was ruled as arson.  Clouser stated he was allegedly paid by Pucciarelli to burn the Volkswagen because she wanted to get rid of the vehicle.

8/22/07: Aemelina Alvarado pled guilty to sufficient facts on an insurance fraud charge.  The case was continued without a finding for six months.  She was ordered to pay restitution of $635.  Alvarado reported the alleged theft of her 1999 Ford Explorer on November 18, 2005.  She stated she last saw the vehicle on November 17 at about 7:30 pm and discovered it missing the following morning.  Alvarado reported she had all keys to the vehicle in her possession.  The vehicle was recovered prior to the report of theft when police responded to a motor vehicle accident the evening of November 17.  Witnesses reported seeing four young adults flee the scene of the accident.  A forensic analysis of the vehicle determined that the steering column was not defeated, there was no damage to the steering column or ignition lock, the vehicle was equipped with transponder-based security and that the correct key was needed to start the engine.

8/10/07:  Stephen Mazzola, Christina Svendsen, James Konaxis and Anthony Marek were sentenced for their roles in a federal tax evasion scheme and the obstruction of an IRS audit involving Stoneham Towing, Inc. and Bodyworks Company, Inc.  Mazzola was sentenced to 18 months in prison to be followed by three years of supervised release and a fine of $7,500.  Svendsen was sentenced to two years probation with the first six months in home detention under electronic monitoring.  Konaxis was sentenced to one year probation with home detention under electronic monitoring for the first six months and a fine of $3,000.  Marek was sentenced to one year probation, six months of home detention and a fine of $3,000.  Mazzola and Svendsen were convicted of conspiracy for their roles in paying company employees cash wages “under-the-table,” for concealing cash incomes and for producing false records to obstruct an IRS audit of the companies.  In addition, Mazzola and Svendsen were each convicted for obstruction of an IRS audit.  Mazzola was also convicted on four counts of filing false quarterly employment tax returns.  Konaxis and Marek were convicted of obstruction of an IRS audit for their roles in preparing bogus sales invoices to support Mazzola’s false claims during the IRS audit.  

8/9/07: The cases against Sara Berhe and Edwidge Jean-Baptiste were continued without a finding.  They had been charged with motor vehicle insurance fraud and attempt to commit a crime.  They were placed on probation for six months.  Both must stay in school and continue to work as terms of their probation.  Jean-Baptiste reported to her insurance carrier that while driving her 1995 Volvo 960 on May 1, 2003 she was involved in a motor vehicle collision with a 1994 Nissan Quest.  Berhe was a passenger in her vehicle at the time of the accident.  Both sought medical treatment for neck and back injuries allegedly sustained in the accident.  An engine analysis determined the Volvo was undrivable due to a broken connecting rod and a bent crank shaft.  Furthermore, a collision analysis determined that there were inconsistent damages between both vehicles which would cause catastrophic Volvo engine failure.

8/9/07: Venide Forcilus admitted to sufficient facts and received a continued without a finding for one year.  She had been charged with motor vehicle insurance fraud, attempted larceny and false statements alleging theft of a motor vehicle.  Forcilus reported to Lowell police and her insurance carrier that, while staying at a friend’s home on November 16, 2005, her 1997 Infiniti QX4 was stolen.  She claimed that the vehicle had been locked and she was in possession of all keys.  The vehicle was subsequently recovered in Connecticut with extensive damage.  The insurance carrier deemed the Infiniti a total loss.  A forensic analysis of the vehicle determined that there was no damage to the steering column or the ignition lock and the correct key was required to operate the vehicle.  Additionally, there was no evidence of forced entry to the automobile. 

8/3/07: Complaints were issued against Amos Don, Shauntelle Malcom, Shaunette Bennett, Areitah Malcom, Altenor Vaval, Denise Deguerre, Nonoroms Geespere Constant and Monise Fortune.  Each was charged with insurance fraud, attempted larceny and conspiracy to commit insurance fraud.  Shauntelle Malcom, while operating Don’s 1995 Mazda 626 on September 21, 2004, was allegedly involved in an intersection accident with a 1988 Volvo.  Listed as passengers in the Mazda were Bennette and Areitah Malcom.  The Volvo was owned and operated by Vaval who listed Fortune, Deguerre and Constant as passengers in his vehicle at the time of the accident.  An accident analysis determined that the damages to both vehicles could not have occurred from the accident as reported. 

8/2/07: Complaints were issued against Eloisa Oliveira, Jose Andrade, Henrique Pina and Sanixa Dos Reis.  Each was charged with motor vehicle insurance fraud, attempt to commit a crime and conspiracy.  Andrade reported on June 2, 2003 that while operating a 1991 Chevrolet Corsica, owned by another individual, he was struck by a 1995 Suzuki Sidekick which ran a stop sign.  Andrade listed Oleveira, Dos Reis and Pina as passengers in the Corsica at the time of the accident.  The driver and passenger of the Sidekick fled the scene of the accident.  A physical damage comparison of the vehicles determined that the damages to each vehicle were not consistent with a mutual collision. 

7/30/07:  Sithorn Tith was sentenced to two years to two years and one day in state prison followed by three years probation.  He had pleaded guilty to two counts of motor vehicle insurance fraud, two counts of larceny, negligent operation of a vehicle and four counts of conspiracy to commit insurance fraud.  Tith was a driver in a May 24, 2004 staged motor vehicle accident in Bedford. 

7/27/07: Regina Guzman and her company, AG Asbestos, Inc., were each indicted on one count of workers’ compensation fraud and larceny by false pretenses and four counts of unemployment tax evasion.  Guzman and AG Asbestos allegedly misrepresented the company’s 2003 payroll by approximately $1.3 million.  In February 2004, Guzman allegedly provided documentation to its workers’ compensation insurer indicating the company payroll was only $223,809.  This misrepresentation reduced their workers’ comp insurance premium by approximately $138,000.  Guzman also allegedly directed employees of AG Asbestos to cash their paychecks for a fee at a Lawrence liquor store.  AG Asbestos then allegedly bought back the paychecks from the store for 102% of their value.  Of the nearly 5,000 paychecks totaling $1.6 million in payroll for 2003, none were processed through a banking institution.  Additionally, AG Asbestos underreported its quarterly payroll to the Division of Unemployment Assistance which allowed AG Asbestos to substantially reduce its 2003 tax liability. 

7/26/07: The cases against Raymond Auguste and Andrea Dorvilus were continued without a finding for 11 months.  Each had been charged with motor vehicle insurance fraud, larceny and conspiracy.  Dorvilus was a jump-in passenger of a March 2, 2005 motor vehicle accident in which Auguste, while driving his 1994 Honda Accord, struck a 2000 Nissan Altima head on.  The driver of the Nissan called police to the scene of the accident.  The driver noted that there were no other passengers in Auguste’s vehicle.  Both the driver of the Nissan and Auguste provided police information regarding the collision and both declined medical assistance when asked.  The Nissan driver and Auguste also each reported the accident to their respective insurers and each reported no injuries and no passengers in their vehicles.  However, on his Operator’s Report, Auguste claimed that Dorvilus was a front seat passenger in his vehicle at the time of the accident.  Both Auguste and Dorvilus subsequently claimed injuries sustained in the accident and medical bills were paid for by Auguste’s insurer.   

7/26/07: Eight individuals were charged for their involvement in an alleged January 26, 2003 staged motor vehicle accident.  Shawn Gittens was charged with insurance fraud, larceny and conspiracy to commit insurance fraud.  Dennison White was charged with insurance fraud and conspiracy to commit insurance fraud.  Ingrid Gittens, Michele Bradley, Chantel Rostant, Lindon Pierre, Ruth Bodden and Vermelly Warner were each charged with insurance fraud, attempted larceny and conspiracy to commit insurance fraud.  Shawn Gittens reported that while driving his 2001 Honda Accord a 1989 Acura Legend, owned by Pierre and operated by White, struck his vehicle as it was passing through an intersection.  Ingrid Gittens, Bradley and Rostant were reported passengers in the Honda.  Pierre, Bodden and Warner were reported passengers in the Acura.  All passengers sought chiropractic treatment from alleged injuries sustained in the accident.  An accident reconstruction determined that there was no evidence of a reciprocal collision between the Honda and Acura.

7/25/07: Five individuals were charged for their involvement in an alleged September 29, 2002 staged motor vehicle accident.  Alejandro Santiago and Rafael Guillen were each charged with two counts of motor vehicle insurance fraud and one count attempted larceny, larceny by false pretense and conspiracy to commit insurance fraud. Yahaira Hernandez was charged with two counts each motor vehicle insurance fraud and attempted larceny and one count conspiracy to commit insurance fraud.  Gricelda Martinez was charged with motor vehicle insurance fraud, larceny by false pretense and conspiracy to commit insurance fraud.  Ramon Melendez was charged with motor vehicle insurance fraud and conspiracy to commit insurance fraud.  Santiago reported to his insurer that his 1997 Mitsubishi Diamante, operated by Melendez, was allegedly involved in a collision with a 2000 Jeep Wrangler.  Martinez reported to her insurer that her 2000 Jeep Wrangler, operated by Guillen, was struck by the 1997 Mitsubishi.  Hernandez was listed as a passenger in the Jeep at the time of the alleged accident.  Guillen, the driver of the Jeep at the time of the accident, was the previous owner of both vehicles involved in the alleged accident and had gifted both vehicles to their new owners.  Police were not called to the scene and both vehicles were allegedly non-drivable.  A forensic analysis of the vehicles determined that the damage to the Mitsubishi was the result of two separate impacts by the Jeep while the Mitsubishi was stationary. 

7/23/07: Complaints were issued against Adairis Serrano, Ramon Perez and Alma Carrasquillo.  Each was charged with motor vehicle insurance fraud, attempted larceny and conspiracy to commit insurance fraud.  Serrano, while driving her 1993 Toyota Camry, was allegedly in an intersection accident on January 10, 2004.  She reported that a Nissan Maxima, owned and operated by Perez, struck her vehicle as it was trying to pass her on the passenger side.  Carrasquillo was a passenger in the Perez vehicle at the time of the accident.  Perez reported that the accident allegedly occurred when Serrano went through a stop sign and hit his vehicle.  Along with conflicting statements regarding the accident, an accident reconstruction determined that the damages on both vehicles were not consistent with the two vehicles colliding.

7/19/07: Ingrid Hilario and her brother Jose Hilario were charged for their involvement in an alleged false report of a vehicle theft.  Ingrid Hilario was charged with one count each motor vehicle insurance fraud, larceny and filing a false police report.  Jose Hilario was charged with conspiracy to commit insurance fraud.  Ingrid Hilario reported to Lawrence police the alleged theft of her 1992 Honda Accord from her home on November 12, 2003.  The vehicle was towed as an abandoned vehicle the day before the report of theft and had allegedly been parked at that location for approximately two weeks prior to the tow. 

7/19/07: Complaints were issued against Joaquin Teixeira on charges of motor vehicle insurance fraud, attempt to commit a crime and filing a false police report.  Teixeira reported the alleged theft of his 2001 Chevy Malibu from outside his New Bedford residence on June 9, 2004.  Teixeira reported that he allegedly started the vehicle the morning of the alleged theft and left it running to warm up the engine while he returned to the house.  When he returned the vehicle was missing.  The Chevy was recovered the next day in another town.  An expert inspection of the vehicle determined that there were mechanical problems with the vehicle at the time of recovery.  In addition, Teixeira did not live at the New Bedford address but allegedly resided close to where the vehicle was recovered. 

7/13/07: Complaints were issued against Kim Wright on charges of motor vehicle insurance fraud and larceny.  Wright reported that while at a Springfield ATM machine her 2005 Pontiac Grand Prix was rear ended by another vehicle which fled the scene.  Wright alleged she was injured from the impact.  An accident reconstruction determined that the damage to the rear of the Pontiac was inconsistent with contact from another vehicle but was consistent with the Pontiac backing into a wood structure.  The ATM is a wood structure. 

7/12/07: Complaints were issued against Ranica Williams.  She was charged with motor vehicle insurance fraud and attempt to commit a crime.  Williams reported that her 2000 Chrysler 300M was allegedly damaged in a hit-and-run collision.  An accident analysis determined that the damage was caused by the vehicle striking a fixed object. 

7/12/07: The case against Rui Tavares was continued without a finding for six months for charges of motor vehicle insurance fraud, attempted larceny and conspiracy.  Final dispositions are pending on five other subjects involved in the case.  One subject was driving his 1992 Ford Explorer on October 16, 2004 when he allegedly slid into the back of a 1994 Ford.  Subjects claimed alleged injuries sustained in the accident.  An accident reconstructionist determined that the damages to each vehicle were inconsistent with the collision as reported. 

7/11/07:  Complaints were issued against Kelly Fowler.  She was charged with motor vehicle insurance fraud, attempted larceny and false report to police.  Fowler reported that her 1998 Ford Taurus, while parked on a one way street, had allegedly been damaged by an unknown vehicle.  Damages to the Ford were inflicted on the passenger side from front to back which could only have been caused if another vehicle was allegedly traveling the wrong way on a one-way street.  Furthermore, an accident reconstruction analysis of the Ford determined that the vehicle was in motion when damaged and the damages were caused in multiple impacts.

7/10/07: Complaints were issued against Juan Robinson Perez, Carlita Pimental and Pedro Roman for their alleged involvement in a February 12, 2004 staged accident.  Perez was charged with motor vehicle insurance fraud and conspiracy to commit insurance fraud.  Pimental and Roman were charged with motor vehicle insurance fraud, attempted larceny and conspiracy to commit insurance fraud.  Pimental and Roman were listed as injured passengers in an accident report of a collision between a 1989 Toyota Corolla and a 1991 Honda Accord.  The owners of the two vehicles deny their vehicles were involved in an accident and deny knowledge of the three subjects.  A vehicle analysis determined that the two vehicles had not collided together.  Perez allegedly organized the staged accident.  Pimental and Roman incurred over $9,900 in medical treatments for alleged injuries sustained in the reported accident.

7/6/07: Complaints were issued against Tvan Rios, Ancelmo Dominguez, Jacinta Fuentes, Jovanny Burgos, Wisly Pericles, Robert Contreras, Marie Pericles and Jean Trezic, Sr. for their involvement in a June 21, 2004 alleged staged motor vehicle accident.  Each was charged with motor vehicle insurance fraud, attempt to commit a crime and conspiracy.  Rios, while operating his 1993 Ford Escort, allegedly struck a 1986 Toyota Corolla operated by Wisly Pericles.  Each driver reported passengers in their vehicles at the time of the accident.  The passengers sustained alleged injuries in the accident.  An accident reconstruction determined that the damages to each vehicle were not consistent with the accident as reported by the subjects. 

7/2/07: Complaints were issued against Adam Chaffee on charges of motor vehicle insurance fraud and attempt to commit a crime.  Chaffee reported to his insurance carrier that he parked his 2001 Nissan Xterra at his place of business on March 11, 2006 when an unidentified vehicle allegedly hit the passenger side of the vehicle and fled the scene.  A forensic examination of the Nissan determined that the Nissan was moving forward when damaged and made contact with a fixed object.  There were other inconsistencies in statements made by Chaffee regarding the alleged accident.