N.J. Man Parked in Auto Fraud Scam

New Jersey Division of Criminal Justice Director Vaughn McKoy announced that an Essex County man has been ordered to perform 150 hours of community service and to serve three years probation for attempting to defraud State Farm Insurance Company out of more than $6,500 as part of a phony accident scheme.

According to Insurance Fraud Prosecutor Greta Gooden-Brown, Roy Bailey, 34, of Newark, was sentenced on Oct. 22 by Essex County Superior Court Judge Michael Ravin to three years probation with 187 days credit for time served in the Essex County Jail. Bailey was also ordered to perform 150 hours of community service.

Gooden-Brown noted that Bailey was charged with conspiracy and attempted theft by deception via an Essex County Grand Jury indictment returned on Sept. 30, 2002.

In pleading guilty on Sept. 3 before Judge Ravin, Bailey reportedly admitted that in February, 1997, he and two co-conspirators claimed to have been injured in a motor vehicle accident. Investigation by the Division of Criminal Justice – Office of the Insurance Fraud Prosecutor determined that the accident never occurred.

Bailey subsequently filed fraudulent bodily injury and PIP claims totaling more than $6,500 with the State Farm Insurance Company. State Farm denied the claims and referred the case to the Office of the Insurance Fraud Prosecutor for investigation.

The co-conspirators were identified as Irene Smith, 28, Western Parkway, Irvington. Smith reportedly pleaded guilty to conspiracy on Jan. 10, 2003 and was sentenced on March 7, 2003, by Essex County Superior Court Judge Peter Vazquez to serve two years probation and to perform 100 hours of community service.

On June 4, Ali Harvey pleaded guilty to a criminal Accusation that charged conspiracy for his reported role in the phony accident scheme. Harvey was admitted to the Pre-Trial Intervention Program (PTI) and was ordered to complete 50 hours of community service.