TRENTON
- Division of Criminal Justice Director
Vaughn L. McKoy announced that four North
Jersey residents have been ordered to
pay thousands of dollars in restitution
and criminal fines for participating in
a scheme to stage fake automobile accidents
and to obtain more than $31,000 in phony
insurance claims.
According to Insurance Fraud Prosecutor
Greta Gooden Brown, Gladys Roman, 38,
6th Street, Carlstadt, Bergen County;
Manuel Hernandez, 33, Sylvan Terrace,
Paterson, Passaic County; Yaneris Diaz,
37, Carlisle Lane, Paterson, Passaic County;
and Hernando Nhar, 36, High Street, Paterson,
Passaic County, were ordered by Passaic
County Superior Court Judge Randolph F.
Subryan to each pay a $2,500 civil insurance
fraud fine and to serve a two years probation.
Additionally, the defendants were ordered
to pay restitution totaling $17,561.00.
The defendants, charged via a State Grand
Jury indictment returned on Dec. 13, 2004,
pleaded guilty to conspiracy to commit
Health Care Claims Fraud and theft by
deception on April 11, 2005. In pleading
guilty, the defendants admitted that between
Oct. 13, 1998 and Dec. 13, 1999, to participating
in a “staged” motor vehicle
accident in which a car occupied by Quiroz
Mazo, Nhar, and Erik Bula, 34, Colonial
Avenue, Paterson, was struck in the rear
by a vehicle occupied by Roman, Hernandez,
and Diaz.
An investigation by the Division
of Criminal Justice - Office
of the Insurance Fraud Prosecutor
determined that the accident was staged.
Roman, Hernandez, Diaz, Quiroz Mazo and
Nhar submitted phony Personal Injury Protection
(PIP) claims and bodily injury claims
to Liberty Mutual Insurance Company and
to ELCO Administrative Service for payment
for “pain and suffering” sustained
as result of the purported accident. Additionally,
Roman, Hernandez, Diaz, Quiroz Mazo, and
Nhar sought medical treatment for injuries
sustained in the purported accident. More
than $31,000 in PIP and bodily injury
claims were paid to the defendants as
a result of the fraudulent claims.
A fifth defendant, Claudia Quiroz Mazo,
28, Miller Avenue, Elmwood Park, Bergen
County, pleaded guilty on May 9 to theft
by deception. Quiroz Mazo’s sentencing
is scheduled for July 22 before Judge
Subryan. On July 21, 2004, Bula pleaded
guilty to a criminal Accusation before
Passaic County Superior Court Judge Marilyn
C. Clark to Health Care Claims Fraud and
theft by deception. Bula admitted the
accident was staged. Bula was sentenced
on March 11 to two years probation, ordered
to pay $5,437 in restitution, and to pay
a $5,000 civil insurance fraud fine.
The investigation was conducted by the
Division of Criminal Justice - Office
of the Insurance Fraud Prosecutor which
investigates and prosecutes civil and
criminal insurance fraud cases. State
Investigator Joe Vendas and Deputy Attorney
General Dennis Kwasnik were assigned to
the investigation. DAG Kwasnik represented
the Division of Criminal Justice - Office
of the Insurance Fraud Prosecutor at the
sentencing
.
“Staged automobile accidents threaten
lives and the resulting fraudulent claims
drive automobile insurance rates up,”
said Insurance Fraud Prosecutor Brown.
“The Office of the Insurance Fraud
Prosecutor will continue to investigate
and prosecute those who choose to involve
themselves in this type of criminal activity.”
###
_ag-ph_update.gif)
