MIDWEST NEWS ZONE......

Ohio Department of Insurance Director Mary Jo Hudson announced that a Franklin County Grand Jury indicted Luther Watts, Lysandrous Mullins, Jr., and Patricia Irene Mullins on eight counts of insurance fraud each. Watts and Mullins, Jr. are residents of Columbus whileMullins resides in Harts, West Virginia.

In May 2006, the Ohio Department of Insurance, the Delaware County Sheriff’s Office, the West Virginia State Police and the West Virginia Office of the Insurance Commissioner began investigating the three individuals as they had filed a significant number of insurance claims. Claims filed included acts of arson, theft, auto accidents and disability / personal injury claims.

The investigation revealed the three suspects would purchase vehicles from local car dealerships using fraudulent documents and employment information, and would take out credit disability insurance. Shortly after obtaining vehicles, the suspects would then contact the insurance carrier and report they were injured and/or disabled. In order to maximize the length of time the insurance company would have to pay on the vehicle, the suspects would alter disability forms obtained from their provider and submit them to the insurance carriers.

The three individuals are scheduled to be arraigned on Sept. 9.

WESTERN NEWS ZONE......

The WCIRB (wcirbonline.org/wcirb) said it is submitting a filing to the California Department of Insurance (CDI) recommending an approximate 22.8 percent increase in pure premium rates (or "claims cost benchmark") effective Jan. 1, 2010. The WCIRB Governing Committee made its decision to recommend the increase based on recommendations heard at the WCIRB Actuarial Committee on July 31.

The recommendation is based on a pair of principal components. First, the WCIRB's evaluation of March 31, 2009 loss experience produces an indicated increase in the claims cost benchmark of 16 percent. This indicated increase is primarily the result of increased medical costs.

Second, the WCIRB's analysis of anticipated cost increases stemming from three recent Workers' Compensation Appeals Board decisions (Ogilvie v. City and County of San Francisco, Almaraz v. Environmental Recovery Services and Guzman v. Milpitas Unified School District) indicates an additional increase of 5.8 percent.

The WCIRB says that if the full 22.8 percent increase is approved by the Insurance Commissioner, the Jan. 1, 2010 pure premium rates will still be, on average, 55 percent lower than the approved pure premium rates in effect July 1, 2003.

The WCIRB added it expects to submit its pure premium rate filing to the CDI on or around Aug. 18.

• Five California friends were arrested and charged with staging an auto collision and then fraudulently filing an insurance claim with Infinity Insurance Company (Infinity) and State Farm Mutual Automobile Insurance Company (State Farm).
  
• 
  
• Phuong Nguyen, 29, and David Pham, 71, both of Westminster, and husband and wife, Hoai Nguyen, 57, and Tracy Nguyen, 50, both of Huntington Beach, are all charged with three felony counts of insurance fraud and two felony counts of grand theft. If convicted on all charges, the four defendants face a maximum sentence of five years in state prison each. Tony Nguyen, 53, Westminster, is charged with three felony counts of insurance fraud, two felony counts of grand theft, and one felony count of false and fraudulent claim. If convicted on all charges, he faces a maximum sentence of eight years in state prison.
  
• 
  
• At approximately 10:30 p.m. on June 13, 2008, Tony Nguyen is accused of driving a 1995 Nissan sedan with Phuong Nguyen in the passenger seat. He is accused of pulling out in front of a 1990 Nissan Maxima occupied by driver Tracy Nguyen, her husband Hoai Nguyen, and friend David Pham in the back seat. Tony Nguyen is accused of sideswiping the Maxima at the intersection of Brookhurst Street and Larson Avenue in Garden Grove. They are accused of pulling over and exchanging information. No medical personnel or police were called to the scene. Tony Nguyen is accused of referring the four co-defendants to the Law Offices of Walter Martinez and the Law Office of Tung T. Pham. On June 16, 2008, all five defendants are accused of filing an insurance claim for bodily injury and vehicle damage with Infinity and State Farm totaling over $60,000.
  
• 
  
• On June 30, 2008, during a recorded statement to Infinity, the five defendants are accused of stating that they did not know the occupants in the other vehicle before the collision. On July 11, 2008, during another recorded statement taken by Infinity, Tracy Nguyen, Hoai Nguyen, and David Pham are accused of stating that they didn’t know the driver or the passenger in the car that hit them. On July 22, 2008, during a recorded statement taken by Infinity, Phuong Nguyen is accused of stating that she didn’t know the three people that were in the car that was hit. In July 2008, the Department of Insurance began an investigation into the case at Infinity’s request.
  
• 
  
• During the time of the accident, all five defendants are accused of knowing each other and living together at various times in a Huntington Beach house owned by Hoai and Tracy Nguyen.
  
• 
  
• In August and October of 2008, the five defendants are accused of receiving money from Infinity and State Farm totaling over $3,200 in collision claims.

WESTERN NEWS ZONE......

California Insurance Commissioner Steve Poizner announced the arrests of Melody Ann Mosqueda, 45, of Valley Springs, her former husband, Anthony Charles Mosqueda, 52, of Stockton and their daughter, Rachel Lee Anthony-Mosqueda, 28, of Elk Grove. The family was arrested as the result of an investigation conducted by the California Department of Insurance (CDI) into alleged insurance fraud.

Melody Ann Mosqueda, a former insurance claims adjuster, was arrested as she appeared at the San Joaquin County Superior Court in Lodi, California on an unrelated criminal matter; she is charged with 13 counts of insurance fraud, money laundering, grand theft and burglary. Rachel Lee Anthony-Mosqueda was arrested by the Elk Grove Police Department; she is charged with nine counts of insurance fraud, money laundering and grand theft. Anthony Charles Mosqueda was arrested at his residence; he faces 10 counts of insurance fraud, money laundering and grand theft.

CDI's investigation was assisted by Zurich and Fireman's' Fund insurance companies. Bail for each family member was set at $250,000. The case is being prosecuted by the San Joaquin County District Attorney's Office.

CDI was alerted to the Mosqueda family's alleged scheme when workers from both Zurich and Fireman's Fund insurance companies independently discovered discrepancies in a claim Melody Ann Mosqueda had handled for their companies. Both companies conducted internal audits and discovered multiple discrepancies in multiple claims.

According to CDI detectives, Melody Ann Mosqueda perpetrated an embezzlement scheme while working for Zurich and Fireman's' Fund insurance companies as an insurance claims adjuster from 2003 to 2007 by allegedly inputting false information into legitimate insurance claims, then issuing payment for fictitious settlements and/or services.

It is further alleged that these checks were issued to and cashed by Mosqueda and her family members. The Mosqueda family also apparently created several bogus companies to which Melody Ann would then issue insurance payments and subsequently cash those checks.

CDI uncovered that Mosqueda actually had created and diverted checks totaling more than $175,000, but some check remained not cashed.

• Ventura County (Calif.) District Attorney Gregory Totten announced that Ismael Santos (DOB 11/20/84) of Thousand Oaks, pled guilty to one count of felony auto insurance fraud. Santos will be sentenced on Sept. 2, in Ventura County Superior Court. He faces a maximum sentence of five years in state prison and a $50,000 fine.
  
• 
  
• On March 12, 2009, Santos reportedly contacted the Thousand Oaks Police Department and reported his 2000 Ford Expedition stolen from a shopping center parking lot. Santos stated he had parked his vehicle in the lot and discovered it gone when he returned from shopping. On March 13, Santos contacted his insurance carrier, Access General, and filed a claim for the loss. Later that same day, Access General was notified by the National Insurance Crime Bureau that a 2000 Ford Expedition registered to Santos was impounded in Tijuana, Mexico, on March 9.
  
• 
  
• Access General referred the claim to the California Department of Insurance (CDI) for investigation. When CDI investigators questioned Santos, he repeated his story about his vehicle being stolen.
  
• 
  
• However, when investigators confronted him with the information about the vehicle being impounded, Santos admitted that he paid two men $500 to “get rid” of his vehicle because he could no longer afford the monthly payments.

SOUTHEASTERN NEWS ZONE......

North Carolina Insurance Commissioner Wayne Goodwin announced the arrest of John Fitzgerald Haynes, 43, of Bessemer City.

According to the arrest warrant, Haynes filed a claim with N.C. Farm Bureau Insurance in August 2003 for his 1967 Chevrolet truck. Haynes claimed that the truck was stolen and received $4,500 from Farm Bureau.

In April, after an outside tip, officials at N.C. Farm Bureau Insurance notified the N.C. Department of Motor Vehicles and the N.C. Department of Insurance Criminal Investigations Division that the pick-up truck might actually be at an address in Shelby. Investigators located the vehicle and discovered that the original VIN number had been removed. According to investigators, Haynes was still driving the truck with a different VIN number.

Haynes has been charged with one count of insurance fraud and one count of altering serial numbers. He was arrested and placed in the Cleveland County jail under a $10,000 bond. Investigators say other charges may follow.

MIDWEST NEWS ZONE......

An altered receipt for $3,965 was at the center of a recent insurance fraud case investigated by the Kentucky Department of Insurance (DOI) Fraud Investigation Division and will cost the former Louisville corrections officer who submitted it more than $13,000 in fines, restitution and court costs.


In November 2004, Robert L. Whiteside, then a corrections officer with the Louisville Metro Corrections Department, submitted the receipt to State Farm Fire and Casualty Company, claiming chrome rims and tires had been stolen from his home during a burglary. State Farm reimbursed him for the loss.


At a jury trial in April 2009, Whiteside was found guilty of one felony count of insurance fraud. During an appearance last month in Jefferson Circuit Court, he was sentenced to two years, probated for five years. In addition, he must pay court costs of $130; a $15 per month probation supervision fee; $3,965 in restitution to State Farm; a fine of $7,930 (or two times the amount received due to the fraudulent act), and $806 to the DOI Fraud Investigations Division for investigative expenses.


Whiteside will be charged a collection fee and interest until the restitution is paid.

EASTERN NEWS ZONE......

A Columbia County, New York woman has been arrested for cashing $5,599 in disability checks mailed to her sister who died more than two years ago, the New York State Insurance Department reported.

Maryann Wagoner, 33, of Niverville, was arrested by state police at Schodack following an investigation.

Wagoner is accused of failing to notify American International Group Insurance Co. that her sister had died in March 2007. Wagoner, who was her sister’s caregiver and had power of attorney, endorsed and cashed five checks mailed to the sister after her death.

Wagoner was charged with insurance fraud and falsifying business records. If convicted, she could be sentenced to up to seven years in prison.

• A New Hampshire woman was arraigned Monday in connection with allegedly embellishing several insurance claims and fraudulently collecting lost wages.
  
  
  Ana Keegan, 39, of Seabrook, formerly of Haverhill, Mass., was charged with Motor Vehicle Insurance Fraud (3 counts), Larceny over $250 (2 counts), Insurance Fraud, and Attempted Larceny.
  
  

  The Attorney General’s Office began an investigation into Keegan’s alleged activities after a referral was made by the Massachusetts Insurance Fraud Bureau (IFB). Authorities allege that in August 2002, Keegan suffered legitimate injuries from a dog biting incident and received a settlement from her insurer, State Farm Fire & Casualty Co. (State Farm). Investigators further discovered that Keegan sustained additional injuries as the result of an auto accident in February 2003, at which time she reported her injuries to MetLife Auto & Home Insurance Co. (MetLife). Authorities allege that in an effort to embellish her claim with MetLife, Keegan also cited the injuries she sustained from her previously settled August 2002 claim and lost wages from a non-existent job.
  
  

  In response to her claim, MetLife paid Keegan $20,000 in compensation for her total injuries and purported loss of wages as result of the accident. According to authorities, at the time of the accident Keegan claimed to be employed at John D’s Deli, a restaurant/bar that closed in July 2002, before any of the alleged injuries occurred.
  
  

  In addition, authorities allege that on three separate instances occurring on diverse dates in April 2003, September 2004, and January 2005, Keegan embellished insurance claims as the result of minor motor vehicle accidents citing the injuries, medical reports, and loss of wage claims from the August 2002 and February 2003 settlements.
  
  

  An Essex Grand Jury retuned indictments against Keegan on June 12. Keegan, arraigned in Essex Superior Court, entered a plea of not guilty and was released on personal recognizance. Keegan is due back in court on Aug. 26, for a pre-trial conference.

WESTERN NEWS ZONE......

* Policyholders of American International Group (AIG) in California filed a complaint Thursday asking the Los Angeles Superior Court to order the nation’s largest insurance and financial conglomerate to stop engaging in reported further unlawful, fraudulent and unfair business practices under a California law that was adopted to protect consumers. The court action was filed by an insurance broker who purchased and sold over $15 million of AIG life insurance.

AIG reportedly channeled funds from its California companies into a lending program that put over $75 billion of AIG insurance assets at risk, using the companies’ bonds and investments to speculate in high risk real estate mortgage securities. According to the suit, AIG lost the gamble and taxpayers have paid over $180 billion. The suit charges that AIG is draining funds from its California insurance companies in a futile effort to keep the financial side of the firm afloat.

Also named in the suit is AIG's decade-long auditor PricewaterhouseCoopers. The accounting firm is charged with reportedly systematically providing AIG with phony audit opinions that were filed with the State Insurance Commission.

• Ventura County (Calif.) District Attorney Gregory Totten announced that the Ventura County District Attorney's Office Auto Insurance Fraud Unit arrested and charged Jose Herrera, 29, of Canoga Park, with one count of felony auto insurance fraud.
  
  It is alleged that on Dec. 15, 2008, Herrera committed auto insurance fraud when he contacted his Ventura-based insurance carrier, Alliance United, and falsely reported that someone had stolen his 1997 Jeep.
  
  Herrera could be sent to state prison for up to five years if convicted of felony auto insurance fraud.

FRAUD NEWS ZONE......

* A Brookline, Massachusetts couple has pled guilty in Suffolk Superior Court to charges they schemed to obtain public health insurance to which they were not entitled.

Joseph Youshaei, 46, and Jila Youshaei, 41, each pled guilty to charges of Procurement Fraud (2 counts), and Larceny Over $250 by Continuous Scheme. Following the change of plea, Suffolk Superior Court Judge Carol Ball sentenced Joseph Youshaei to one year in the House of Corrections; 30 days to serve, balance suspended for one year. Jila Youshaei was sentenced to one year probation. Ball ordered Joseph and Jila Youshaei to jointly pay restitution in the amount of $53,114 and fined each $17,500.

From 1999 through 2005, the Youshaeis reportedly applied for and received MassHealth benefits by providing false information regarding their income. Joseph and Jila Youshaei reported in submissions to MassHealth that their only source of income was $475 a week earned by Joseph as an employee of the Boston Discount Jewelry Exchange. Based on their submissions, the Youshaeis, including their three children, qualified for and received the most comprehensive health coverage available at the time under the Commonwealth’s public health assistance program.

An investigation conducted by State Auditor Joe DeNucci’s Bureau of Special Investigations and an independent investigation conducted by the Attorney General’s Office revealed that during the relevant time period, from 1999 through 2005, the Youshaeis owned a principle residence in Brookline assessed at approximately $650,000 as well as various businesses and downtown commercial real estate assessed in the millions including the Boston Discount Jewelry Exchange building located at 365 Washington Street and commercial buildings at 48 and 52 Temple Place in Boston. In addition, the Youshaeis owned and operated three separate Honey Dew Donut franchises, a convenience store, and a fruit vendor stand located on Downtown Crossing. The investigation also revealed that during the relevant time period, all three of the Youshaei children attended an exclusive private school in Brookline. Neither these assets nor the purported income derived from the businesses and real estate ventures were reported to MassHealth.

In total, MassHealth paid over $53,000 in medical benefits on behalf of the Youshaei family.

Pastor Allegedly Burned Church to Collect Money

In a new meaning of passing the collection plate, a former Barrow County, Georgia pastor has been arrested, charged with allegedly setting fire to his own church to collect on an insurance payment.

According to authorities, Quincy Arnold, 49, of Lawrenceville was arrested Tuesday following a three-year investigation.

Arnold, the former pastor of the New Life Deliverance Church in Winder, was charged with arson, conspiracy to commit a crime, party to the crime of vandalism to a place of worship, and insurance fraud. A December 2005 fire at the house of worship sent the structure up in flames.

Arnold posted a $50,000 bail and was released today from jail.

Buffalo Duo Nabbed for False Insurance Claim

Two Buffalo area motorists who made-up the date of an auto accident so one of them could file a $1,640 insurance claim have been charged with insurance fraud and attempted grand larceny, the New York State Insurance Department reported.

Amanda Webb, 27, surrendered to Depew police on Jan. 28 and Van Gilbert, 26, surrendered on Jan. 21. The arrests followed an investigation by David Hahn, of the Insurance Department’s Frauds Bureau, and the special investigations unit of the Progressive Insurance Company.

Hahn said that Webb’s car accidentally struck a parked vehicle owned by Gilbert on July 17. Webb purchased auto insurance with Progressive and then filed a claim for damages after learning that her pervious policy with Allstate Insurance Company had been cancelled. Webb and Gilbert falsely told Progressive that the accident occurred on July 24, after Webb had purchased the policy. Progressive denied the claim after confirming the actual date of the accident.

If they are convicted, the two could be sentenced to up to three years in prison. They were released pending a hearing to be scheduled in Erie County Court.

California Couple Nabbed in Fraud Case

California Insurance Commissioner Steve Poizner announced the arrests of Robert and Lisa Franklin of Artesia, on five counts of felony grand theft, five counts of diversion of premiums.

In addition, Mrs. Franklin was charged with one felony count of insurance fraud. Mrs. Franklin faces a maximum sentence of nine years in state prison if convicted. Mr. Franklin faces a maximum of seven years in state prison if convicted. Bail is set at $230,000 for each suspect.

Through the course of their investigation, CDI investigators discovered that between March 2004 and January 2006, Mrs. Franklin allegedly collected and/or overcharged five victims of at least $10,129, which was supposed to pay automobile insurance policy premiums.

The CDI investigation determined that Mr. Franklin, whose insurance license was revoked in 2004 following his conviction of grand theft of insurance premium, allegedly quoted excessive monthly payments to the victims for their policies. Mrs. Franklin then allegedly placed coverage for the victims, and arranged to collect their monthly payments using a payment collection company, which deposited the payment into the Franklins' bank account. Three of the victims' policies were canceled due to non-payment of premium, although their bank accounts were being debited by the Franklins'.

One of the victims was provided with a bogus automobile insurance identification card to make it appear coverage was placed and two victims suffered uninsured losses in excess of $3,000.

It is also alleged that Mrs. Franklin, pretending to be one of the accident victims, purchased an auto policy via the internet in an attempt to cover the loss. She allegedly called the insurance company, again pretending to be the policyholder, and gave a false accident date in her conversation with the insurance company representative that was recorded. The insurance company discovered that the accident had actually occurred a day prior to the placement of coverage and conducted their own investigation where Mrs. Franklin admitted to calling on behalf of the insured.

The Department of Insurance launched the investigation after one victim attempted to renew her vehicle registration and was told that her proof of insurance would not be accepted. The victim immediately filed a complaint with the Department of Insurance.

L.A. Woman Wanted for Fraud Nabbed in Mexico

Authorities in Mexico are holding a Los Angeles woman who left the U.S. with her children following charges of bigamy and insurance fraud.

Damaris Amesquita was taken into custody by a bail bonds agent in Mexicali after she fled earlier this year. Authorities reported that Amesquita's two daughters, 9 and 11, and a 2-year-old boy she had falsely claimed was her biological son were found unharmed.

Authorities said that Amesquita, who was formerly employed as a clerk with the Los Angeles County Probation Department, fraudulently collected death benefits of more than $120,000 for her husband. She also reportedly falsely obtained health benefits for the 2-year-old by claiming him as her son. Prosecutors say her husband still lives in Guatemala.

N.Y. Mom, Son Make Fraud a Family Affair

An Amherst, New York woman and her 19-year-old son face charges of insurance fraud and attempted grand larceny in connection with filing a fraudulent $7,000 insurance claim after telling police the woman’s motorcycle had been stolen.

Roseann Degenfelder, 43, and Jeremy Perez, 19, were arrested by Amherst Detective David Kubik, assisted by Town of Tonawanda Officer Jason Arlington, following an investigation by Ross McQuade of the New York State Insurance Department’s Frauds Bureau. Degenfelder was arrested Oct. 15; Perez was arrested Nov. 4.

The investigation was begun after police found Degenfelder’s 2007 Yamaha lying unattended on the side of the I-290 on July 13. The motorcycle was recovered shortly before Degenfelder called police to report that it had been stolen. Perez is accused of abandoning the motorcycle on the side of the expressway, so his mother could file a $7,000 claim for the purported loss with Geico Insurance Company.

When it was recovered, police found damage to the motorcycle similar to damage she described when filing an accident claim with Geico on July 8. Neither that claim, denied because she did not have collision coverage, nor the later claim were paid.

If they are convicted, Degenfelder and Perez could be sentenced to up to seven years in prison.

Kentucky Woman Sentenced in Fraud Case

An Irvington, Kentucky woman was sentenced to one year in prison, probated, and fined more than $1,800 after pleading guilty to a felony count of insurance fraud.

According to Breckinridge Circuit Court documents, Shirley Ramsey, 63, purchased an automobile insurance policy and paid the premium. After obtaining the proof of insurance card, she stopped payment on the check. She later presented the card to the county clerk’s office to show proof of insurance required to obtain license tags.

She was sentenced to one year in prison, probated. In addition, she was ordered to pay a fine of $639.45 to DOI for investigative expenses; $195 in court costs, and an additional $1,000 fine to the court.

California Couple Nabbed for Insurance Fraud

California Insurance Commissioner Steve Poizner announced the arrests of a husband and wife pair, in connection with insurance fraud charges. Joanne Fawcett, 61 and Steven Fawcett, 62, both of Sacramento, were arrested in Sacramento.

In April 2007, Joanne Fawcett reportedly claimed she was hit by a vehicle as she was walking in a parking lot, and injured her knee. Fawcett then alleged that as a result of her injury, she could not walk up stairs or work. Mr. Fawcett reportedly confirmed his wife's claims in an interview with insurance company investigators.

The CDI investigation revealed that Mrs. Fawcett was able to walk up stairs and was employed cleaning rental properties during the time period she claimed to be unable to do so. Additionally, surveillance video obtained during the investigation reportedly revealed that both Joanne and Steven Fawcett worked for a property management company. The video also shows Mrs. Fawcett walking normally and moving a refrigerator into a rental property.

The Department of Insurance investigation revealed that Joanne Fawcett has filed 24 injury claims since the mid-1990s, costing insurance companies in excess of $450,000.

If convicted, the couple could each face up to five years in prison and thousands of dollars in fines.

FEMA, Missouri Officials Crack Down on Fraud

The Federal Emergency Management Agency (FEMA) and Missouri's State Emergency Management Agency (SEMA) are working to identify a small percentage of disaster assistance applicants who have been trying to cash in on the misfortune of others.

"As of last Friday, state and federal agencies have paid out nearly $8 million in grants and loans to those who have suffered damage due to the storms that affected our state from June to mid August,” said State Coordinating Officer Ronald Reynolds.

"Most people who apply for funds do so honestly," said Federal Coordinating Officer Michael Karl, "but every now and then a person tries to take undue advantage of the disaster assistance system."

"A number of methods are used to detect fraud," said Karl. "An automated-system cross checks information with other agencies and insurance companies to weed out duplicate applications. Field inspections are then conducted to verify losses and damages."

Making false statements to a FEMA inspector is a prosecutable offense under Title 18 of the United States Code. Potential cases of fraud or misuse are referred to the U.S. Justice Department for prosecution. Penalties for felony offenses can be severe.

People who made a mistake when reporting damage or may have misrepresented their losses have the opportunity to cancel their claim. Individuals may call the Helpline at 1-800-621-FEMA (3362) or TTY: 1-800-462-7585 (for the speech and hearing impaired) to withdraw or correct an application and prevent prosecution.

Those who suspect abuse of disaster assistance programs, report it to the fraud hotline: 1-800-323-8603.

N.Y. Man's Accident Story Doesn't Pan Out

A Tompkins County, New York man who collected an $1,188 insurance payment for damage to his car reportedly caused by hitting a deer was arrested for insurance fraud when authorities charged the damage actually occurred when he struck a pedestrian and a house in Syracuse.

Robert E. Jones, 49, of Freeville, was arrested by Investigator Mark Howard of the New York State Insurance Department’s Frauds Bureau, assisted by the Criminal Investigation Division of the Tompkins County Sheriff’s Department.

Howard said Progressive Insurance Company paid Jones for damage to the passenger side of his car after he filed an accident report claiming he struck a deer on March 30. Progressive asked the Insurance Department to investigate after the company received a second accident report for the same car. Filed by the Syracuse Police Department, the second report identified Jones as the driver in a March 29 accident involving a pedestrian.

Police said the pedestrian had been a passenger in Jones’s car and was injured after she got out of the vehicle and Jones tried to drive away, striking her and the house. The woman was treated for an ankle injury. Jones was charged with assault and leaving the scene of the accident.

If he is convicted of the separate charge of insurance fraud, Jones could be sentenced to up to four years in prison.

Co-Owner of Calif. Agency Takes Plea Bargin Deal

Jerry Young, the president and co-owner of California-based Pelican Bay Insurance, faces up to a year in jail after taking a plea bargin in an insurance fraud case that began some five years ago.

Young was originally hit with 29 felony counts for insurance fraud, but plea bargained down to a misdemeanor accessory charge. He will be sentenced this December.

Young and one of his employees allegedly lied to customers about coverage, issued false proof of insurance, forged documents and pocketed insurance premiums. Young offered a no contest plea on behalf of his agency in relation to the amended misdemeanor charge of being an accessory to the crime at a preliminary hearing Monday.

Young, his wife, who is co-owner of the agency, and the employee, Page Castro, were all arrested in March of last year following an investigation by several departments, including the Department of Insurance. Young's wife was not named in the charges due to lack of proof she did anything wrong. The couple owned and operated the agency that was originally known as the Fraser, Yamor, Jacob and Young Insurance Agency.

Young and his wife fired Castro, who also faces possible jail time when sentenced, back in 2003.

Man Awaiting Murder Trial Sentenced for Fraud

An Arizona man was sentenced Monday to two years in prison for filing a false insurance claim. However, that may be the least of his worries.

William Craig Miller, 31, who faces a potential death sentence for murdering five people in Mesa, was sentenced on the insurance fraud charges, which will reportedly allow him more privileges as he awaits the murder trial. Miller had been held in isolation in county jail and reportedly wanted to get transferred to prison where the food is better.

The result of the insurance fraud sentence is that Miller will complete serving a 3½ year sentence for attempted fraudulent schemes Dec. 16, then start serving the latest sentence consecutively.

The fraud charges are the result of the torching of Miller's own house in Scottsdale on Nov. 26, 2005.

Prosecutors argue that Miller then shot and killed Steven Duffy, 30, and his girlfriend, Tammy Lovell, 32, in east Mesa on Feb. 21, 2006, to prevent them from testifying in the arson case. The other three victims were Lovell's children, Cassandra, 15, and Jacob, 10; and Duffy's brother, Shane Duffy, 18.

Miller's arson and murder trial is slated for next May. Prosecutors reportedly will try the arson charges first because they believe that crime led to the slayings.

Indy Couple Indicted in Katrina Fraud

Authorities report that an Indianapolis couple has been indicted by a federal grand jury for reportedly claiming $22,000 meant to help victims of Hurricane Katrina.

Jimmy Alexander, 38, and Dawn Alexander, 34, who both could face a possible maximum prison sentence of 10 years, were indicted this week for conspiracy and theft of public money following an investigation by the Department of Homeland Security and the FBI.

The Alexanders are accused of filing multiple phony documents with the Federal Emergency Management Agency, claiming that Jimmy Alexander was a resident of New Orleans and that his home suffered damaged from Katrina.

The couple reportedly received approximately $22,000 from the Katrina relief program.