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March 7, 2012: NYPD Busts Ring of 16 Using Rented Trucks to Arrange Accidents, Scam Drivers Under No-fault Insurance Law

Posted By Corey Sullivan || 8-Mar-2012

The NYPD arrested sixteen suspects Tuesday on charges of setting up fake auto accidents in Brooklyn, netting $400,000 in insurance payouts, authorities said. Several of the incidents involved U-Haul trucks rented by people with squeaky-clean licenses, said the NYPD’s Fraudulent Accident Investigation Squad. The suspects are all from Brooklyn and range in age from 20 to 46 and are being charged with insurance fraud, grand larceny, falsifying business records and misdemeanor conspiracy charges.

Crew leaders would shell out between $100 and $500 to those who would rent a vehicle for the day and the “accidents” would range from hitting livery cabs to throwing themselves in front of cars and slapping the vehicle to make it sound like they’d been hit. With New York State’s no-fault insurance law, claims can be filed for up to $50,000 to cover physical therapy, acupuncture and chiropractic sessions, while separate lawsuits for bodily injury can be filed concurrently. The year-long investigation was sparked by a referral from the Department of Financial Services, authorizes said, and was carried out by the NYPD and attorney general.

If you or someone you know has been accused of a crime like this, you should immediately seek advice from a criminal defense attorney that is experienced in federal criminal defense cases. For a free consultation with such an attorney, complete the form to the left or call 212-566-1000. Based in New York City, Sullivan & Brill, LLP represents clients throughout the United States, as well as in Manhattan, Brooklyn, Queens, Bronx, Staten Island, Nassau County, Suffolk County, Westchester County and other upstate New York counties.

Categories: Federal Crimes News