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For Immediate Release:  
For Further Information:

June 20, 2006

Office of The Attorney General
- Zulima V. Farber, Attorney General
Division of Criminal Justice
- Gregory A. Paw, Director
Office of the Insurance Fraud Prosecutor
- Greta Gooden Brown, Insurance Fraud Prosecutor

 

Division of Criminal Justice
609-984-1936

 

Toms River Woman Pleads Guilty to $700,000 Life Insurance Fraud

TRENTON - Attorney General Zulima V. Farber and Division of Criminal Justice Director Gregory A. Paw announced that an Ocean County woman has pleaded guilty for stealing more than $700,000 in life insurance monies to which she was not entitled.

According to Insurance Fraud Prosecutor Greta Gooden Brown, Mary Maschuci, 55, of Toms River, pleaded guilty before Superior Court Judge James N. Citta in Ocean County to charges of insurance fraud and theft by deception, both second-degree crimes. Under the plea agreement, the state will recommend that Maschuci be sentenced to five years in state prison and be ordered to pay restitution. Maschuci also may face civil insurance fraud fines. The charges were brought by the Division of Criminal Justice - Office of Insurance Fraud Prosecutor.

“Insurance fraud is a serious crime that imposes very significant costs on all of us who pay insurance premiums,” said Insurance Fraud Prosecutor Brown. “We will continue to vigorously investigate and prosecute this type of criminal activity.”

At the guilty plea hearing yesterday, Maschuci admitted that between June 9, 2003 and April 20, 2005, she submitted false life insurance claims to nine insurance companies. The claims were false in that Maschuci had applied for life insurance benefits on her life, and, posing as her adult daughter, Maschuci then contacted the insurance companies indicating that Mary Maschuci had died. Maschuci also submitted false death certificates to the companies. Maschuci attempted to collect approximately $1,083,155 in claims money and was successful in collecting $738,409.

The false life insurance claims were sent to Empire Indemnity Insurance Company, Individual Assurance Company, Protective Life Insurance Company, AIG Insurance Company, Hartford Life & Accident Insurance Company, USAA Life Insurance Company, Minnesota Life Insurance Company, Allstate Insurance Company, and Conseco Insurance Company.

State Investigator Natalie Brotherston, Civil Investigator David Hiestand, and Deputy Attorney General James E. Jones Jr., were assigned to the investigation. DAG Jones represented the Office of Insurance Fraud Prosecutor at the guilty plea hearing. A copy of this release can be found on the Insurance Fraud Prosecutor’s Web site at www.NJInsuranceFraud.org .

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