TRENTON
- Attorney General Peter C. Harvey announced
that a former employee of a Hudson County
insurance agency has been ordered to pay
nearly $4,000 in restitution after admitting
to concocting a scheme to issue fraudulent
insurance claim checks while employed
by the agency.
According to Vaughn L. McKoy, Director,
Division of Criminal Justice and Insurance
Fraud Prosecutor Greta Gooden-Brown, Jemal
Williams, 32, Forest Street, Jersey City,
Hudson County, was sentenced by Hudson
County Superior Court Judge Elaine L.
Davis to three years probation and ordered
to pay $3,982 in restitution.
Insurance Fraud Prosecutor Gooden Brown
noted that Williams was indicted by a
Hudson County Grand Jury on Oct. 8, 2002
on charges of conspiracy and theft by
deception. Williams pleaded guilty to
the charges on Sept. 30 before Judge Davis.
In pleading guilty, Williams, a former
customer service representative for Great
West Life and Annuity Insurance Company's
Hudson County office, admitted that he
fraudulently authorized and issued six
Great West insurance claim checks totaling
more than $7,415.
The investigation by the Division of Criminal
Justice - Office of Insurance Fraud Prosecutor
determined that Williams issued the claim
checks as if the insurance carrier was
paying a legitimate claim. In fact, the
claims were phony.
Williams also admitted that he conspired
with Letticia Waymer, 32, of Montclair,
to perpetrate the scheme. Waymer pled
guilty on June 20, 2002, to a charge of
conspiracy, admitting that she received
and cashed four fraudulently issued claim
checks from the Great West Life and Annuity
Insurance Company. Waymer kept $800 of
the proceeds, turning the remainder of
the monies over to Williams. On Aug. 6,
2002, Waymer was admitted into the Pre-trial
Intervention Program (PTI) conditioned
upon making full restitution to Great-West
Life and Annuity Insurance Company.
The investigation was conducted by the
Division of Criminal Justice - Office
of Insurance Fraud Prosecutor. State Investigator
Marc Cofone, Civil Investigator Nancy
Santiago, and Deputy Attorney General
Philip J. Mogavero were assigned to the
investigation. DAG Mogavero represented
the Division of Criminal Justice - Office
of Insurance Fraud Prosecutor in the court
proceedings.
"This case was referred to Office
of Insurance Fraud Prosecutor by Great
West Life after discovering that claim
checks had been fraudulently issued,"
said Insurance Fraud Prosecutor Gooden
Brown. "Great West Life participated
in the criminal investigation which led
to the prosecution of the two individuals
who stole more than $7,000 in insurance
claims money."
Insurance Fraud Prosecutor Gooden Brown
noted that the Office of Insurance Fraud
Prosecutor realized a 143 percent increase
in indictments; a 91 percent increase
in defendants charged; a 79 percent increase
in convictions (trial convictions and
guilty pleas); and a 60 percent increase
in civil sanctions in 2002. The Office
of Insurance Fraud Prosecutor charged
225 defendants in 2002, versus 118 defendants
in 2001. Additionally, the Office of Insurance
Fraud Prosecutor imposed sanctions in
3,723 civil fraud cases in 2002, compared
to 2,063 civil sanctions obtained in 2001.
The Office of Insurance Fraud Prosecutor
collected $20.6 million in penalties in
2002, up from $15.8 million in 2001.
Noting that some important cases have
begun with anonymous tips from the public,
Insurance Fraud Prosecutor Gooden Brown
encouraged anyone with information about
insurance fraud to contact the Division
of Criminal Justice - Office of Insurance
Fraud Prosecutor's toll-free hotline at
1-877-55-FRAUD, or to visit the
insurance fraud web site at www.NJInsurancefraud.org
.
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