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					                Man arrested in ‘crash for cash’ investigation
                                                                          17 April 2007

A man was arrested today as part of an ongoing investigation into a multi-million
pound insurance fraud network based on staged motor accidents.

The arrest followed a series of searches carried out by City of London Police at
addresses across London this morning. The man arrested is currently being
interviewed at Bishopsgate Police Station. A quantity of cash, a Rolex watch and five
cars were also seized by police during the operation.

The investigation, which has been running since January 2007 in conjunction with the
Insurance Fraud Bureau (IFB), has been focused on an Accident Management
Company believed to be involved in the staged accident process.

The accidents which were the subject of the enquiry appear never to have occurred,
policies having been taken out purely for the purpose of making a variety of fictitious
claims for personal injury, car hire, storage and recovery, loss of earnings and
vehicle damage. Criminals engaged in crash for cash fraud often use the proceeds
to fund further serious criminal activity.

A total of eight search warrants were executed this morning with three of the
searches conducted at business premises. The office of a firm of solicitors in the
North West of England was also the subject of a search warrant, in relation to the
operation.

Detective Sergeant Martin Peters said:

“We have worked closely with colleagues from the Insurance Fraud Bureau during
the past few months and their assistance has been invaluable in developing our
inquiries.”

“City of London Police has a proven track record in complex investigations of this
type. We will continue to take a robust stance in targeting and disrupting the criminal
gangs preying on innocent motorists and the insurance industry.”

John Beadle, Chairman of the Insurance Fraud Bureau comments:

“The success of today’s raids shows the power of the private and public sector
working collaboratively. The IFB is working together with members and the City of
London Police to address not only fictitious accidents, but also contrived and induced
accidents, which are a very real threat to public safety. Furthermore, Insurance fraud
adds approximately 5% to all our premiums. On behalf of the insurance industry, we
will continue to work closely with the police to protect innocent motorists. We will
detect, disrupt and wherever possible, prosecute these criminals.”

The IFB runs a free and confidential helpline which members of the public are urged
to call if they have any information on staged motor accidents or any type of
insurance fraud. The number is 0800 328 2550.

                                         Ends

                                                       NEWS RELEASE
Note to Editors:

For interview requests please contact City of London Police press office on 020 7601
2220.

For further information about the IFB please contact:
Anne Staunton/ Nicky Godfrey

Peak Marketing & Communication Service
0845 056 0534
anne.Staunton@peak-marketing.co.uk/ nicky.godfrey@peak-marketing.co.uk


Insurance Fraud Bureau (IFB):
The IFB was launched in July 2006, to clamp down on organised, cross-industry
insurance fraud in order to protect honest policyholders. Fraud costs the insurance
industry over £1.5 billion a year and adds 5% to premiums. Criminal gangs
organising complex scams are earning up to £4 million a week from organised
insurance fraud and frequently use the proceeds to fund other forms of criminality.

Via the IFB, the insurance industry is working collaboratively to detect and expose
these criminal gangs; 97% of the UK’s personal lines insurers are participants in the
IFB service. The Bureau analyses the details of the insurance policies and claims
records of all insurers members to identify suspicious activity. It then leads or co-
ordinates investigations with the effected insurers and police to expose fraudsters
and bring them to justice, recovering fraudulent monies paid out and seeking criminal
prosecution.

For further information visit www.insurancefraudbureau.org


[CM 130407]                                                             [0407 - 05]

				
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