Issue:  2006-11-09

Man Indicted in Connection with $800,000+ N.J. Fraud Ring

TRENTON, N.J., November 9 – A Pennsylvania man has been indicted for his alleged role in a New Jersey auto theft and insurance fraud ring. The Office of Insurance Fraud Prosecutor (OIFP) said that it has identified roughly $803,000 worth of stolen automobiles in connection with this ring.

According to Insurance Fraud Prosecutor Greta Gooden Brown, Artur Lapinski, of Bethlehem, Pa., was indicted by a Middlesex County grand jury on October 25 on second-degree charges of conspiracy to commit insurance fraud, conspiracy, receiving stolen property, and fencing, as well as third-degree charges of conspiracy, receiving stolen property, and fencing. The indictment was handed up on November 1 to Superior Court Judge Frederick P. DeVesa in Middlesex County, Brown said.

She explained that the indictment alleges that between November 19 and November 23, 2004, Lapinski knowingly sold a stolen 2005 BMW M3 to an undercover investigator for $5,500. The car had allegedly been stolen from the Inskip Auto Center in Warwick, Rhode Island.

The indictment also contends that between March 28 and April 22, 2005, Lapinski conspired to commit insurance fraud. It is alleged that Lapinski agreed with another person to sell an Infiniti QX4 so that the owner of the automobile could falsely report it as stolen to the insurance company.

The indictment further alleges that between November 8 and November 10, 2004, Lapinski conspired with other persons to possess and sell two stolen 2005 Hummer H2 motor vehicles for $6,000 each. It is alleged that the motor vehicles belonged to James Hummer, an automobile dealership in Flemington.

This investigation has identified a conspiracy to steal cars and facilitate owner give ups on a large scale, Brown said. The property loss and phony insurance claims uncovered in this wide-ranging investigation may exceed $1 million. The investigation is continuing and additional charges are expected.

Second-degree crimes carry a sentence of up to 10 years in state prison and a criminal fine of $150,000, while third-degree crimes carry a maximum sentence of five years in prison and a criminal fine of $15,000, Brown said. She added that Lapinski may also face civil insurance fraud fines.

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