$94,614,453.59
Arkansas has racked up nearly $95 million in insured losses from four major storm systems that hit the state so far this year. May 10 storms caused $17,150,530.56 in damages, the Arkansas Insurance Department said. Storms on May 2 caused $15,830,583.14; April 3, $18,723,144.68; and Feb. 5, $42,910,195.21. Governor Mike Beebe declared Arkansas and Phillips counties state disaster areas after the May 10 tornadoes and thunderstorms. Beebe declared 11 counties disaster areas after the May 2 tornadoes, 60 counties after the floods and tornadoes of March and April and 13 counties following the tornado outbreak on February 5.
209
The Federal Bureau of Investigation pursued 529 financial crime cases in its most recent fiscal year, including 209 insurance fraud cases. The 209 insurance fraud cases investigated resulted in 39 indictments and 47 convictions. The FBI says it realized $27.2 million in restitutions and $427,000 in fines from insurance investigations. The FBI expects the number of cases and subsequent arrest and conviction statistics to rise in the near future as more fraud from Hurricane Katrina is uncovered.
$5 Million
A federal judge sentenced three people to prison for an insurance fraud scheme in which Houston-area homes were flooded using water hoses. Multiple insurers were defrauded of more than $5 million over a six-year period, according to court documents. Sentenced were Angela Armstrong of Humble, Daniel Hunger of Angleton and Debbie Rampiarie Ramcharan of Humble. Armstrong and Ramcharan in June 2007 were convicted on nine counts each of mail fraud, engaging in monetary transactions in criminally derived property and conspiracy, the prosecuting U.S. Attorney’s office reported. Hunger pleaded guilty to conspiracy to commit mail fraud and conspiracy to engage in monetary transactions in property derived from unlawful activity. Armstrong must serve more than eight years in prison, plus pay $2.3 million in restitution. Ramcharan received nearly four years in prison and must repay $1.3 million. Hunger will spend one year in prison and pay restitution of $1.4 million. The IRS-Criminal Investigation team, the FBI and the U.S. Postal Inspection Service participated in the investigation. The case was prosecuted by Assistant United States Attorney Melissa Annis.
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