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Tuesday, 04 March 2014 20:02

Florida ‘Operation Leaky Pipes’ Investigation Nets 12 Arrests

The ongoing insurance fraud investigation known as ‘Operation Leaky Pipes’ has led to the arrests of 12 Miami, FL residents, according to an announcement made by CFO, Jeff Atwater. The investigation uncovered a scheme between a licensed public adjuster and a plumber to coach homeowners on how to file fraudulent insurance claims for preexisting or non-existent water damage. The homeowners filed fraudulent claims in an attempt to claim money for home remodeling. “These 12 individuals tried to cheat the system and now they have to face the consequences,” said Atwater. “The National Insurance Crime Bureau (NICB) works with its 1,100 member companies and law enforcement to identify, investigate, and deter insurance fraud that impacts the American public,” said NICB director, Dennis Russo. “The NICB values our partnership and working relationship with the Florida Division of Insurance Fraud.” The Florida Division of Insurance Fraud detectives obtained sworn confessions from all 12 named homeowners. They were arrested and transported to the Miami Dade County Jail for processing. Although the homeowners will be charged individually, the scheme in total resulted in a loss of more than US$175,000 to insurers.

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