Economy, Business And Markets

Car Insurance Scam Gang Busted

Car Insurance Scam Gang BustedCar Insurance Scam Gang Busted

Police investigations in Isfahan lead to a crackdown on an insurance scam gang. The breakthrough came about after a car accident was called in and the chief suspect involved failed to deliver a solid story of the incident.

After policemen showed up at the scene of the incident, the discrepant details delivered by the suspect aroused suspicion. The man, who had introduced himself with an alias, is a 25 year old originally from Isfahan, Banker quoted the provincial police chief, Abdolreza Aghakhani, as saying.

Through further investigation the suspect confessed to be affiliated with an insurance fraud group, who have by far organized 60 cases of simulated car accidents throughout the country and received approximately 6 billion rials in insurance compensations ($217 thousand at official exchange rate).

Detectives have tracked down and arrested five fraudsters with the group. The criminals have been handed over to the affiliated judicial officials. “further related legal procedures will soon be underway,” the police said.  All insurance companies have been warned to keep an eye on similar cases of insurance fraud “especially with cases where accidents inflict physical casualties.” To prevent further scams, the police chief urged the companies to check records and affirm details with the traffic police before any compensation is paid.