Latest Fraud Headlines
All the headlines from our Fraud Topic Page, ordered by recency.
California Nursing Home Operator Settling Fraud Claims for $16.7M
Jul 15 2020 // A Los Angeles company that runs 27 nursing homes has agreed to pay $16.7 million to settle allegations of Medicare fraud, the U.S. attorney’s office announced. Longwood Management Corp. didn’t acknowledge any...
Former Owner of Cleaning Company Charged with Workers’ Comp Fraud
Jul 14 2020 // The former owner of a Massachusetts cleaning company has been charged with wage theft and workers’ compensation insurance fraud, Rhode Island Attorney General Peter F. Neronha announced. Marcello Pompa, of Saugus,...
Massachusetts Man Indicted for More Than $200K Insurance Fraud Scheme
Jul 13 2020 // A Holbrook, Mass., man was indicted in connection with damaging luxury cars bought under false pretenses in order to collect insurance proceeds, Attorney General Maura Healey announced. Dion Augustin was indicted by a...
German Officials Seize Server With U.S. Police Files Stolen in Data Breach
Jul 10 2020 // At the behest of the U.S. government, German authorities have seized a computer server that hosted a huge cache of files from scores of U.S. federal, state and local law enforcement agencies obtained in a Houston data...
Texas Communities to Use $12M in Grants to Combat Vehicle Crimes
Jul 9 2020 // Texas suffers from more than $1 billion in losses from motor vehicle crime each year, according to the Motor Vehicle Crime Prevention Authority (MVCPA), a division of the Texas Department of Motor Vehicles. To help Texans...
Insurance Fraud Investigators Ramp Up During Reopening, Even as Claims Volumes Drop
Jul 7 2020 // Fraud inevitably rises after natural disasters and during economic downturns. The COVID-19 pandemic has brought both conditions to the entire globe at once. Fraud-prevention advocates have long been warning about the...
Wirecard Probe Expands with Arrest of Head of Dubai-Based Subsidiary
Jul 7 2020 // BERLIN/FRANKFURT – German prosecutors said on Monday they had arrested the head of a Dubai-based subsidiary of Wirecard, widening the circle of suspects in a multi-billion-dollar fraud investigation into the collapse of...
Houston Pharmacist Gets 10 Years in $21M Workers’ Comp Fraud Case
Jul 6 2020 // A Houston pharmacist has been sentenced to 10 years in prison in a $21 million workers’ compensation fraud case. George Philip Tompkins, 75, the self-proclaimed “Compound King” and former owner of Piney...
Florida’s Citizens Accuses Embattled Law Firm, Others of Sham Lawsuits, Racketeering
Jul 6 2020 // Florida’s state-run Citizens Property Insurance Corp. has joined a chorus of insurance companies accusing the Strems Law Firm of lawsuit abuse. Citizens says it has lost millions of dollars due to an alleged scheme...
Texas Work Comp Division: Healthcare Providers Indicted for Drug Distribution, Fraud
Jul 2 2020 // Three Texas healthcare providers will face trial for conspiracy to distribute controlled substances and mail fraud, according to the Texas Department of Insurance – Division of Workers’ Compensation. On June...
No Coverage Owed for Shooting Due to Criminal Act Exclusion
Jul 1 2020 // An insurer is not liable for injuries caused by a policyholder who shot a 15-year-old boy in the head because the policy excluded coverage for criminal acts, a split Georgia Court of Appeals panel decided. The 2-1 ruling...
N.H. Woman Sentenced for Fraud Scheme Targeting Restaurants, Insurance Companies
Jul 1 2020 // A New Hampshire woman has been sentenced to 18 months in federal prison for participating in a mail fraud scheme targeting restaurants and insurance companies. According to court documents and statements made in court, for...
New York Insurance Broker Arrested, Charged in $1M Fraud Scheme
Jun 30 2020 // A New York state insurance broker has been arrested and charged with wire fraud, attempted wire fraud and aggravated identity theft and is facing a maximum penalty of 20 years in prison. U.S. Attorney James P. Kennedy Jr....
Florida Restaurant Fined More Than $314K for Stealing Tips, Wages
Jun 30 2020 // Federal officials say a Florida restaurant chain with six locations has been fined more than $314,500 for taking employee tips and wages. The U.S. Department of Labor reported Friday that the Vietnamese chain Pho 79...
Houston Pharmacist, Wife Sentenced in $21M Workers’ Comp Fraud Case
Jun 29 2020 // A Houston pharmacist has been sentenced to 10 years in prison in a $21 million workers’ compensation fraud case. George Philip Tompkins, 75, the self-proclaimed “Compound King” and former owner of Piney...
Prosecutors: Trying to Hide Healthcare Fraud, Texas Woman Burned $1.6M Home
Jun 29 2020 // A woman burned down her $1.6 million suburban Fort Worth mansion while trying to destroy documents from her husband’s health care clinic as authorities were investigating the couple for fraud, prosecutors allege. A...
Indiana Woman Gets 3-Year Sentence for $540K Theft from Employer
Jun 29 2020 // An Indianapolis woman has been sentenced to three years in federal prison after pleading guilty to stealing more than a half million dollars from a small business and using the money to buy jewelry and pay for trips to...
Guardrail Company Accused of Negligence, Fraud in Missouri Lawsuit
Jun 23 2020 // A Missouri commission is suing a company that makes guardrails, saying its equipment is defective. The Missouri Highways and Transportation Committee, a six-member board that governs the Missouri Department of...
Supreme Court Upholds But Curbs SEC’s Power to Force Ill-Gotten Gains in Fraud Cases
Jun 22 2020 // The U.S. Supreme Court on Monday placed limits on the Securities and Exchange Commission’s practice of forcing defendants to surrender profits obtained through fraud as part of its enforcement of investor-protection...
Florida’s Citizens Accuses Embattled Law Firm, Others of Sham Lawsuits, Racketeering
Jun 22 2020 // Florida’s state-run Citizens Property Insurance Corp. has joined a chorus of insurance companies accusing the Strems Law Firm of lawsuit abuse. Citizens says it has lost millions of dollars due to an alleged scheme...
