Car insurance fraudster sent to prison for claiming fake crash of his fake Ferrari

Article by Christian A., on April 3, 2017

Some people really can’t be honest. A few even get worse and commit fraud. A young man from the United Kingdom thought he could get away with an insurance scam involving a fake Ferrari, a rented Audi and an intentional accident.

This young man in question is a certain Adam Islam, of Southwold Drive, Barking, Essex. He owns a fake Ferrari, which is basically a Toyota MR2 dressed up as a Ferrari F430. Islam and his friend Mohammed Abu Khayer – who had an Audi A1 rental car – went for a drive with their respective rides on September 12, 2014. But their enjoyable drive was interrupted by a crash, as both drivers were driving recklessly that day. But instead of honestly reporting the accident, Islam and Khayer connived to implement a plan that would make them earn tens of thousands of pounds by claiming insurance money.

Under their plan, instead of reporting what really happened, Islam claimed that his dressed up Toyota MR2 stalled on a bend and then it was hit by another car. He also claimed not knowing the driver of the supposedly at-fault vehicle. By doing so, Islam managed to collect around £29,000 from his insurer LV. Since the Audi A1 – the vehicle found to be at fault – was insured by the rental company, Abu incurred no personal cost by accepting that he was to be blamed for the accident.

But when Islam tried to claim for another credit from a different company, this was flagged as suspicious by Hill-Dickinson’s Netfoil database, a detection system that protects against insurance fraud. Accident Exchange tapped Asset Protection Unit (APU) to investigate the matter. After investigation by a team of forensic experts and former police officers, APU determined that Islam and Abu Khayer knew each other, and are even friends. The investigators also found out Islam tried but failed to sell his car online for £30,000, which could be a sign of possible insurance fraud.

After gathering all necessary evidence, APU tapped the services of commercial law firm Hill-Dickinson LLP for a private investigation. The case went to court sans police involvement and both Islam and Abu Khayer pled guilty to fraud by false representation. Islam was sentenced by the Snaresbrook Crown Court to prison in 18 months, while Abu Khayer was sentenced to custodial sentence of 12 months, suspended for two years. Both fraudsters were ordered to pay compensation.

Judge HHJ Dawson remarked that Islam and Abu Khayer committed sophisticated fraud just almost immediately after the crash. He noted that the crime wasn’t victimless crime, since this could result to higher car insurance premium and delays in genuine payments.

Press Release

PRIVATE PROSECUTION SAVES INSURER £30K AND JAILS CONMAN AFTER CRASHING FAKE FERRARI

In a landmark private prosecution led by Asset Protection Unit (APU), a motor fraudster was sentenced to 18 months in prison at Snaresbrook Crown Court yesterday.

Having pled guilty to fraud by false representation, Adam Islam admitted to crashing his fake Ferrari in a bogus claim which paid out £29,000.

The incident occurred on 12th September 2014, when Islam, of Southwold Drive, Barking, Essex, crashed his Toyota MR2, which was dressed up to look like a Ferrari F430, into his friend’s hired Audi A1 in suspicious circumstances.

With insurance fraud low on the list of police priorities, and Insurance Fraud Enforcement Department (IFED) rules dictating fraud must be reported by an insurer or the police, the action led by motor fraud experts APU proved the only option to recover the £29,000 paid out by Islam’s insurers.

Islam and his accomplice Abu Khayer convinced his insurer LV= to pay out £29,000 after claiming his car had broken down on a bend before being hit, and that he did not know the driver. As the at-fault vehicle was insured by the hire company, Abu would incur no personal cost by accepting liability for the accident and could split the hefty insurance pay-out with Islam.

Already in a replacement hire car organised by his accomplice, Mohammed Abu Khayer following the accident, Islam tried to claim for another credit hire car from a separate company. This was quickly detected by Hill-Dickinson’s Netfoil database, the largest of its kind used to prevent, detect and manage insurance fraud.

APU, appointed by sister company Accident Exchange to take up the case, deployed its team of forensic experts and former Police officers to quickly establish that the vehicle that hit Islam’s fake Ferrari was driven by Abu, a friend who had hired the vehicle just days before the crash.

Further investigation found that Islam had recently failed to sell his car online for £30,000, prompting further suspicion of likely insurance fraud.

With all the evidence gathered, APU teamed up with commercial law firm Hill-Dickinson LLP to launch a private investigation into the case. Hill-Dickinson’s expert Advocacy Team, led by in-house counsel, Mark Stanger worked with the APU team, conducting the advocacy at all Court hearings.

Islam’s accomplice, Khayer, also received a 12 month custodial sentence suspended for two years, and was ordered to compensate Accident Exchange, his hire company, and its insurer, totalling more than £10,000.

After Islam and Abu Khayer pleaded guilty on 16th March, Judge Peters QC commented on the private prosecution, saying: “I see no reason why organisations should be treated as suffering less harm than if it were an individual.”

The judge who sentenced the pair yesterday, HHJ Dawson added, “If it wasn’t for the investigation by one of the companies, it [the fraud] may well have been missed.

“Almost immediately after the crash, you [Islam and Khayer] both launched into a sophisticated fraud. This is not a victimless crime; we all end up paying more for car insurance. It also undermines the trust from insurance companies in the public, which causes delay in genuine payments. More fraud makes it more difficult for honest people to be paid.”

Neil Thomas, Director of Investigative Services at APU Ltd commented, “The sentence is a big step for the industry, and saving insurers such a large sum is the icing on the cake. It all adds up, and we have demonstrated that championing new approaches by working with Hill-Dickinson, we can help mitigate fraud to ultimately save drivers from increased premiums”.

Peter Oakes, Head of Fraud at Hill-Dickinson LLP said: “By working together in partnership with our counter-fraud group, our cradle to grave approach has secured a great outcome for our client. This important case sends a powerful message to would-be fraudsters that their fraud will be detected and prosecuted. This success lays the ground for future actions”

APU’s team of telematics and anti-fraud experts is increasingly utilised by police forces and insurance companies across the country, as police often lack the resources and skills to interrogate telematics data and package it into usable evidence in court.

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Topics: ferrari, toyota, crash

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