TRENTON
- Vaughn L. McKoy, Director, Division
of Criminal Justice, announced that the
Division of Criminal Justice - Office
of Insurance Fraud Prosecutor has charged
a Camden County man with attempted theft,
Health Care Claims Fraud and falsifying
records for submitting fraudulent workers
compensation claims to his employer's
insurance carrier.
According to Director McKoy and Insurance
Fraud Prosecutor Greta Gooden Brown, Campbell
P. Halleran, 26, Breckenridge Drive, Berlin,
Camden County, was charged via a State
Grand Jury indictment with one count of
attempted theft by deception, Health Care
Claims Fraud (both 3rd degree), and falsifying
records (4th degree). If convicted on
all charges, Halleran faces up to 111/2
years in state prison and a fine of up
to $45,000. Additionally, Halleran faces
the possibility of the imposition of civil
insurance fraud fines pursuant to the
Insurance Fraud Prevention Act. Halleran
will be ordered to appear in Burlington
County Superior Court for arraignment
and bail on a date to be set by the court.
The State Grand Jury indictment alleges
that on July 18, 2002, Halleran, who was
working as a laborer for Dick's Sporting
Goods, Inc. located in Moorestown, Burlington
County, submitted a fraudulent worker's
compensation claim for $892 to his employer.
Halleran allegedly claimed that he had
injured his back while moving store inventory
from the loading dock to the interior
of the store. An investigation by the
Division of Criminal Justice - Office
of Insurance Fraud Prosecutor revealed
that another employee of Dick's, not Halleran,
had moved the inventory and Halleran had
not injured himself as claimed. The workers
compensation claim had been submitted
to Chubb Group of Insurance Companies
which denied the claim and referred the
matter to the Office of Insurance Fraud
Prosecutor for investigation.
Halleran was charged pursuant to the State's
Health Care Claims Fraud statute which
became effective on January 15, 1998.
The law calls for the prosecution of persons
who knowingly, or with criminal recklessness,
submit false or fraudulent claims for
payment or reimbursement of health care
services.
State Investigator John F. Collins, Civil
Investigator Michael Troso and Deputy
Attorney General Steven Cirillo were assigned
to the investigation. DAG Cirillo represented
the Division of Criminal Justice - Office
of Insurance Fraud Prosecutor before the
State Grand Jury. The indictment was handed
up to Mercer County Superior Court Judge
Maria Marinari Sypek on Dec. 2.
"Workers
compensation insurance is designed to
assist hard working people who are hurt
on the job," said Insurance Fraud
Prosecutor Gooden Brown. "Theft from
workers compensation denies honest, hard
working people the benefit of the workers
compensation insurance program. The Office
of Insurance Fraud Prosecutor will continue
to investigate and prosecute workers compensation
fraud no matter how large or small the
claim."
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
.
Housed
in the Department of Law and Public Safety's
Division of Criminal Justice and reporting
to the Attorney General, the Office of
the Insurance Fraud Prosecutor was established
by the Automobile Insurance Cost Reduction
Act of 1998 (AICRA). The Office is the
centralized state agency that investigates
and prosecutes civil and criminal insurance
fraud, as well as Medicaid fraud. Criminal
convictions for insurance fraud can result
in fines and imprisonment. Civil penalties
can include substantial fines and referral
for revocation or suspension of professional
licenses.
An indictment is merely an accusation.
The defendant is presumed to be innocent
of the charges unless and until proven
guilty beyond a reasonable doubt.
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