Fraud in the family leads to multiple arrests
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They called their operation “All in the Family,” according to police officials in California’s Coachella Valley who recently unveiled a widespread insurance fraud scheme involving dozens of traffic collisions and auto repair facilities, along with more than half a million dollars in insurance payouts.
The group — comprising 40 husbands, wives, siblings, cousins and in-laws — is alleged to have staged or reported fake collisions since at least 2011 and used their own repair shops to document false reports of damages, according to the Desert Sun newspaper.
Documents list dozens of allegedly false claims that resulted in insurance payouts ranging from $4,000 to about $23,000. Defendants are accused of collecting $560,492 from 10 insurance companies, according to the newspaper.
Seven arrests were announced Tuesday, and two other suspects were arrested Wednesday; authorities have promised more arrests on the way. The Riverside County District Attorney's office said 22 suspects were expected to surrender to authorities this week.
