fraud

Earlier this month, five suspects from Santa Ana, Orange County were arrested for their suspected connection with a fraud and identity theft ring. Orange County Sheriff’s Deputies arrested Nhan Hoang Pham, 29, of Fountain Valley, Lam Thanh Bui, 30, of Garden Grove, Chieu Bach Nguyen, 29, of Santa Ana, and Keeta Thilauan, 25, for multiple alleged thefts and burglaries in the past several months. A fifth suspect, according to inmate records, is listed under two names.

The SWAT team and Sheriff’s investigators issued search warrants and did a parole and probation check on the suspects. The team raided the home of the five and found weapons, a half pound of methamphetamine, several thousand dollars, and gift cards. They also found fraudulently obtained credit cards, identity theft profiles, computers, cell phones, and data storage devices. Authorities believe the ring is operating throughout California in conjunction with a larger crime ring. They further believe there are hundreds of potential identity theft victims that they are trying to identify through financial information from the searches.

California Identity Theft Laws (CA Penal Code 530.5)

As shown by this month’s headlines, California seems to be plagued with fraud issues on the government level. Most of the fraud is allegedly being committed by government workers. The California Department of Insurance awarded $34.95 million in grants to district attorney offices across the state to help fight workers’ compensation insurance fraud. The grants were funded by employer fees and will be used to pay enforcement officials to investigate and prosecute fraud workers’ compensation system during fiscal year 2015-2016.

While the Department of Insurance was dealing with its own problems, it was discovered that California DMV workers traded cash for illegal licenses. At least 100 commercial truck drivers bribed DMV workers at $5,000/piece for trucking licenses. From 2011 to 2015, employees allegedly changed computer records to show that truck drivers passed their behind-the-wheel tests when they did not. Officials said up to 23 traffic accidents could be related to the fraud.

Fraud in California

Under the common law, fraud is generally defined as an intentional misrepresentation of existing fact made by one person to another with knowledge of its falsity and for the purpose of inducing the other person to act, and upon which the other person relies with resulting injury or damage.

Generally, you violate California’s criminal fraud statutes whenever you commit an act that results in an unfair or undeserved benefit for yourself, and/or cause harm or loss to another person. The California Penal Code addresses many types of fraud:

Car insurance fraud
Health insurance fraud
Unemployment insurance fraud
Welfare fraud
Worker’s compensation fraud
Check, credit card, and securities fraud (the 3 types of financial fraud)
Forgery and identity theft
Mail fraud
Check fraud (writing bad checks)
Foreclosure and real estate fraud

Penalties

The penalties for each individual type of fraud differ. For example, workers compensation fraud can be punished by two to five years imprisonment and a $150,000 fine. Fraud can be charged as either a misdemeanor or felony. Prosecutors typically decide this based on the amount of money involved and any prior convictions on one’s record. Continue reading

Articles Tagged with fraud

Five in Orange County Arrested in Fraud and Identity Theft Ring

Fraud in California

Fraud in California

Penalties