The Toronto Police and the Insurance Bureau of Canada have released information from an investigation into the alleged activities of a ring involved in staging vehicle collisions for the purpose of committing insurance fraud. Cops allege the scheme involved the purchase of wrecked vehicles, previously involved in collisions, which would then be cosmetically repaired, placed in the name of a third party, insured for a value far exceeding the actual worth of the vehicle, and then become involved in a staged collision with another vehicle. Reportedly, in each case several individuals would claim to be injured from the collision, although many were never even in the vehicles. So far the investigation has detailed seven such collisions, which reportedly involved 39 drivers and passengers, two tow-truck operators, at least two repair facilities, and an auto reseller. The total loss to insurers from these seven collisions tops $650,000, with 14 people having been arrested on conspiracy and fraud-related charges.
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