Florida Sheriff Charges 14 With Staging Accidents to Bilk Insurers

After a yearlong investigation, Florida authorities have charged 14 people in schemes to stage vehicle accidents and bilk insurers of at least $35,000, charging the maximum they could for treatments, when in reality little or no treatment actually occurred.

The 14 individuals, most of whom worked at chiropractic clinics, face charges including scheming to defraud, fraudulent insurance claims, patient brokering and, in some cases, unlicensed practice of a health care profession, according to the Collier County Sheriff's Office.

State Farm, American International Group Inc., Liberty Mutual Insurance Co., Infinity Insurance Co., and the National Insurance Crime Bureau assisted in the investigation.

"If you look at the cost to us as residents throughout the state of Florida and the nation, we're talking about tens of millions of dollars that we ultimately have to pay to support this type of fraud." Sheriff Kevin J. Rambosk said.

Rambosk said the NICB and insurance companies estimate fraud in Collier County alone amounts to more than $1 million in claims.

"The cost to us, all of us, is enormous," Rambosk said. "All of our residents in Collier County should be as outraged as I am at the cost and impact of this, notwithstanding the safety."

Most of those charged worked at four clinics, including one, Health Park Chiropractic Inc., in Naples, Fla., which is now closed. Those charged include Norma Valdes, manager of Royal Therapy Center Inc. in Naples, and her husband, Gerardo Montalvo; her sister, Celia Rodriguez, manager of the Gulf Coast Therapy and Rehabilitation Clinic, and Rodriguez's husband, Miguel Rodriguez. Also charged were Erlis Chercoles, president and director of the Medical Cuban American Clinic; Eleiser Valdes, accused of being a driver in a staged accident; Edwin Alexander Herrera, an unlicensed therapist and Anyel Delgado, an unlicensed massaged therapist, as well as Claudia Sanchez, a licensed massage therapist who worked at the Medical Cuban American Clinic, sheriff's department spokeswoman Karie Partington said in an e-mail.

Rambosk said training has been provided to law-enforcement officers to help them recognize staged accidents, and his office will continue to investigate insurance fraud.

(By Diana Rosenberg, senior associate editor, BestWeek)