Navy Solders Bilked by Insurance Fraud – Schemers Sentenced for Underhanded Tricks

Navy Solders Bilked by Insurance Fraud – Schemers Sentenced for Underhanded Tricks

SAN DIEGO – San Diego District Attorney Summer Stephan and California Attorney General Rob Bonta announced that a judge ordered $1 million in restitution in a Navy fraud case. This week’s ruling sentenced Paul Flanagan to 357 days of house arrest and ordered him to pay $500,000 in restitution for defrauding thousands of U.S. Navy sailors in San Diego County through a tax and insurance scheme.

A second defendant, Ranjit Kalsi, had been previously sentenced, and was ordered to pay $500,000 in restitution. Flanagan was sentenced after pleading guilty to one felony count of conspiracy to commit insurance twisting, or making misrepresentations to consumers to induce them to take out insurance
policies.

Defendant Kalsi had previously pleaded guilty to one count of felony identity theft, and was sentenced on
February 10, 2021, to serve 358 days in custody and pay $500,000 in restitution. A third defendant,
Gregory Martin, pleaded guilty to one count of grand theft, a misdemeanor, on December 7, 2020, and received credit for 517 days served in custody.

Perpetrated through a company called Go Navy Tax Services, the trio sold expensive and unnecessary insurance products to service members at a substantial commission for the schemers.

“The victims of this scam were Navy sailors serving our country and were tricked into signing up for something they didn’t need and couldn’t afford,” said San Diego County District Attorney Summer
Stephan. “Working with our law enforcement partners, we were able to shut down the scam, prosecute
the offenders, and put money back into the pockets of our hard-working military members. It is
particularly satisfying to see these sailors receiving restitution payments, some in the thousands of
dollars, to make a positive difference in their lives.”

“The Navy welcomes the outcome of this fraud case and applauds the civilian-military teamwork which
led to it,” said Navy Region Southwest spokesman Brian O’Rourke. “Scamming young men and women
serving our country to sign up for insurance they didn’t ask for epitomizes the fraud and abuse against
vulnerable people we are here to stop,” said Insurance Commissioner Ricardo Lara.

Navy Solders Bilked by Insurance Fraud – Schemers Sentenced for Underhanded Tricks was last modified: June 18th, 2021 by admin
Categories: San Diego