August 16, 2006

VIRGINIA WOMAN SENTENCED IN INSURANCE FRAUD CASE

A Chesterfield County woman who embezzled more than $21,000 from the insurance company that employed her as a claims adjuster found out the crime of insurance fraud doesn't pay.

Tracy Carlton Parris was sentenced today in Chesterfield County Circuit Court on six felony charges and ordered to make full restitution to her former employer, Nationwide Insurance. Parrish pled guilty to one charge of embezzlement and five forgery charges on June 22, 2006 in Chesterfield County Circuit Court. On the embezzlement charge, she received a 10-year sentence, suspended for 20 years with good behavior. Sentencing was suspended for 20 years on the forgery charges with the same stipulation as the embezzlement charge. Parrish was also ordered to make restitution to Nationwide in the amount of $21,590.75.

Over a period of seven months, Tracy Carlton Parrish issued 52 fraudulent checks for Nationwide Insurance to 44 different payees. Parrish worked for Nationwide as a claims adjuster and handled casualty claims. Investigation by Insurance Fraud Special Agent Ray Seal with the Virginia State Police revealed that while the majority of the checks were made payable to actual claimants, Parrish kept the checks, forged the signatures of the claimants as well as her husband's signature and deposited the checks into her husband's checking account. In addition, 17 checks were made payable to either her, her family members or variations of their names. These were deposited as well. Parrish's husband was not aware of the scheme since she handled all of the family banking.

A search of the bank records determined the total amount of the fraudulently issued checks was $23,287.57. Most of the checks were issued in amounts slightly under or equal to her check-writing authority limit of $500. During the investigation, several payees were interviewed and confirmed the signatures on the checks were not theirs.

The Virginia State Police is committed to "Stamp Out" insurance fraud occurring in the Commonwealth. If you have knowledge of a fraudulent insurance scheme or suspect you may have been the victim of insurance fraud, report the activity to the Insurance Fraud Program on the insurance fraud hotline at 1-877-62FRAUD (1-877-623-7283) or visit www.StampOutFraud.com. You may also be eligible to receive a reward of up to $25,000.