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Tuesday, 27 November 2018 22:16

Insurance Fraud Ring Led by Body Shop Owner Revealed in Sacramento, CA

Insurance Fraud Ring Led by Body Shop Owner Revealed in Sacramento, CA CA Dept. of Insurance

Detectives from the California Department of Insurance arrested four people early the morning of Nov. 16 for allegedly ripping off four auto insurers for more than $34,000 by filing fraudulent insurance claims.

 

One additional suspect was taken into custody Thursday, Nov.15. All suspects were booked in the Sacramento County Jail.

 

Investigated by the Urban Auto Fraud Task Force, which is supervised and led by the California Department of Insurance Enforcement Branch and includes the California Highway Patrol and Sacramento County District Attorney’s Office, which will prosecute the suspects, the case involves suspects attempting to collect from their auto insurer by falsely claiming their vehicles were stolen when they in fact were found in the possession of an accomplice who owned an auto body repair shop.

 

“Our multi-agency task force has proven very effective in investigating and prosecuting organized insurance crime rings,” said Insurance Commissioner Dave Jones. “These crimes hurt every consumer because in the end, we all pay for these crimes through higher insurance premiums.”

 

The seventh suspect and ring leader, Hector Whitley, owned the body shop, located in Sacramento County, and was arrested in 2016 after Rancho Cordova Police and the Sacramento County Sheriff traced a stolen vehicle’s LoJack signal to his body shop, where they found several suspicious vehicles partially dismantled and stripped.

 

The California Highway Patrol’s auto theft investigation team was called in to serve a search warrant and discovered additional vehicles reported stolen, weapons and illegal drugs in the shop.

 

Dylan Allen Dudley, owner of the original vehicle reported stolen, admitted to investigators that he filed a false police report in an attempt to get his insurance company to pay the claim for his vehicle.

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