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Fraud ring busted by police in swoop following in depth investigation

20th April 2007

The police in conjunction with the Insurance Fraud Bureau (IFB) have made a series of arrests following an investigation into a bogus accident scam.

The scam, which involves bogus accident management companies revolves around phantom accidents - in other words accidents that do not actually happen or cases where the accidents are contrived using innocent unsuspecting motorists.

A group of individuals package and present the claims using friends and family as the participants targeting unwitting motorists who may be forced into an accident. For example the fraudsters on many occasions will entice a rear end shunt by slamming on at an opportune moment and for no apparent reason.

Arrests were made in Hertfordshire, Bedfordshire and London and followed previous arrests in November in what was nicknamed Operation Mysterious. This investigation implicated accident management companies and vehicle examiners (inspectors) in the scam. The message is clear - the law will eventually deal with culprits involved in these road accident claims scams.  

every compensation claim leaves a trail and with more sophisticated logging methods and databases being used by the industry, it is inevitable that the long arm of the law will eventually catch up with the fraudsters. Something that would be welcomed by all in the industry.  

 

 

 

 

 

 

 

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