Raeford PD and Department of Insurance Work Together to Uncover Alleged Prescription Fraud Scheme

Targeted News Service

RALEIGH, N.C., Aug. 15 -- The North Carolina Department of Insurance issued the following news release:

Insurance Commissioner Wayne Goodwin today announced the arrests of Clyde Patrick Cummings, 44, and Ginger Locklear Cummings, 41, both of 1123 Leeper Road, Parkton; each is charged with one count of insurance fraud and 10 counts of altering/counterfeiting prescriptions to obtain a controlled substance by fraudulent means.

A Hoke County-area pharmacy alerted the Raeford Police Department earlier this month after suspecting that counterfeit prescriptions were being processed at its store and filed fraudulently with various insurance companies. After a joint investigation by Raeford police and the North Carolina Department of Insurance, investigators allege that Ginger Cummings and her husband Clyde Cummings were manufacturing the fraudulent prescriptions using a computer and forging doctors' names on them. Promark Catalyst Insurance and the ChampVA healthcare program paid approximately $7,000 as the allegedly fraudulent prescriptions were processed. Investigators suspect the scheme had been going on since July 2010.

Clyde Cummings and Ginger Cummings were arrested on Aug. 13, processed at the Raeford Police Department and placed under $15,000 unsecured bonds.

The Department of Insurance employs 20 sworn state law enforcement officers dedicated to investigating and prosecuting claims of insurance and bail bonding fraud. Since Insurance Commissioner Wayne Goodwin took office in 2009, criminal investigators have received more than 14,000 complaints, resulting in 602 arrests, 333 criminal convictions and more than 110 pending court cases. These efforts have delivered more than $48.5 million in restitution and recoveries for victims.

An estimated 10 cents of every dollar paid in premiums goes toward the payment of fraudulent claims. To report suspected fraud, contact the Department of Insurance Criminal Investigations Division at 919-807-6840. Callers may remain anonymous. Information is also available at www.ncdoi.com