N.J. Woman Pleads Guilty in Fake Claim Scam

January 26, 2005

New Jersey Division of Criminal Justice Director Vaughn McKoy announced that a Burlington County woman has pleaded guilty to falsifying records in order to submit a phony insurance claim worth more than $42,000.

According to McKoy and Insurance Fraud Prosecutor Greta Gooden-Brown, Linda Hayes, 58, of Marlton, Burlington County, pleaded guilty on Jan. 21 before Burlington County Superior Court Judge Marvin Schlosser to a criminal Accusation filed by the Division of Criminal Justice – Office of Insurance Fraud Prosecutor. The Accusation charged Hayes with two counts of falsifying records (4th degree). When sentenced on March 18, Hayes faces up to three years in state prison and a fine of up to $20,000.

At the guilty plea, Hayes reportedly admitted that during October 2002, in order to support a homeowner’s insurance claim, she submitted more than $42,000 worth of falsified receipts to USAA Casualty Insurance. The claim, which came as a result of a burglary, stated that certain of Hayes’ property had been stolen.

An investigation by the Division of Criminal Justice – Office of Insurance Fraud Prosecutor determined that Hayes inflated the receipts and reported to USAA Casualty Insurance that the alleged stolen property was more valuable that it actually was. In addition, it is charged that Hayes submitted receipts to USAA Casualty which were entirely fictitious.

Gooden-Brown noted that Hayes also submitted a fraudulent Evesham Township Police Department Statement of Loss to USAA Insurance Company, as well as a loss report of burglary or theft itemized statement of loss.

Was this article valuable?

Here are more articles you may enjoy.