Former Kansas City cop pleads guilty in insurance fraud scheme

January 2, 2006

Todd Graves, U.S. Attorney for the Western District of Missouri, reported that a former Kansas City, Mo., police officer pleaded guilty in federal court recently to a scheme to collect insurance on a fraudulent stolen car claim.

Michael J. Galley, 37, of Kansas City, waived his right to a grand jury and pleaded guilty before U.S. District Judge Gary Fenner to a federal information that charges him with mail fraud. Galley was an officer with the Kansas City, Mo., Police Department at the time of the offense.

Galley, in his guilty
plea reportedly admitted that he defrauded Progressive Insurance Company between March and June 21, 2004, by falsely claiming that his car was stolen.

Galley caused his 2004 Dodge Intrepid to be driven to Kansas City, Kan., and destroyed, then submitted a false claim on April 27, 2004. As part of the scheme, Galley mailed an affidavit stating the basis for his claim on May 2, 2004, causing a loss of approximately $18,000.

Under federal statutes, Galley could be subject to a sentence of up to 20 years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the completion of a pre-sentence investigation by the United States Probation Office.

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