Federal agency charged Crain Automotive Holdings denied employee an accommodation for anxiety and depression, then fired her. Crain Automotive Holdings, Inc., an automotive dealer with over 20 locations and three collision repair centers in Arkansas, will pay $27,100 to a former employee as part of the settlement of a disability discrimination lawsuit brought by the […]
Pennsylvania Supreme Court to Address Insurer Duty for Proper Collision Repairs
State Supreme Court grants plaintiffs appeal in $21 million bad faith case against Nationwide Insurance that was overturned. The Pennsylvania Supreme Court on March 29 agreed to hear a plaintiffs appeal of the overturning of a $21 million bad faith judgement against Nationwide Mutual Insurance dating back to a 1996 accident and subsequent collision repair. […]
Massachusetts Multiple Collision Repair Shop Owner Charged in $170,000 Insurance Fraud Case
Attorney General alleges shop operator intentionally damaged vehicles to increase insurance payments. The owner of two collision repair shops in Massachusetts has been indicted in connection with a motor vehicle fraud scheme in which he allegedly intentionally damaged vehicles and stole more than $170,000 from 11 different insurance companies, Attorney General Maura Healey announced April […]
GEICO Files RICO Lawsuit Against Arizona Glass Repair Shop
Insurer alleges facility forged customer signatures, charged for ADAS recalibrations not performed. Alleges $1.9 million in damages across more than 2,800 claims. GEICO has filed a federal lawsuit in Arizona, Government Employees Insurance Company, et al. v. A & E Solheim, LLC, d/b/a A & E Auto Glass, et. al., against the auto glass repair […]
Texas Collision Repair Shop Owner Sentenced for Insurance Fraud
Repair facility operator pleaded guilty to first-degree felony, ordered to repay more than $76,000. A Travis County, Texas collision repair shop owner was sentenced to 10 years of probation after Texas Department of Insurance investigators found he had reported accidents that never took place and intentionally damaged vehicles to increase insurance payouts for repairs. The […]
European Commission Fines Car Safety Equipment Suppliers $413 Million in Antitrust Settlement
Three suppliers conspired to raise prices on seatbelts, airbags and steering wheels to Volkswagen and BMW. The European Commission announced March 5 that it has fined Autoliv and TRW a total of €368,277,000 ($413.5 million) for breaching EU antitrust rules by participating in a cartel to raise the prices of automotive safety parts. Takata, the […]
Texas Insurance Adjuster Sentenced for Stealing $100,000
The Texas Department of Insurance (TDI) announced that a Spring, Texas insurance adjuster was sentenced to probation for stealing nearly $100,000 from the insurance company where he worked. Allen Castillo pleaded guilty after a TDI investigation found he authorized payments to a network of friends and family. TDI investigators found that Castillo authorized additional payments […]
Maryland Insurance Regulator to Pay Nearly $37,000 to Settle Federal EEOC Equal Pay Suit
Federal agency finds female fraud investigators were paid less than males. The Maryland Insurance Administration, Maryland’s agency charged with regulating the insurance industry, will pay $36,802 to settle a federal pay discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the federal agency announced. The EEOC charged that the Maryland Insurance Administration had […]
Georgia Collision Repair Shop Owner Pleads Guilty in Insurance Fraud Racketeering Case
A Decatur, Ga. collision repair shop owner pleaded guilty January 14 to staging car crashes and inflicting intentional damage on customers’ cars to pocket larger insurance payments. Alfonzo McKeever, 55, pleaded guilty to racketeering just before his trial was set to begin in Bibb County Superior Court. A judge sentenced him to serve 15 years. […]
FCA US to Pay $800 Million Settlement to Resolve Allegations of Cheating on Diesel Emissions Test
Fiat Chrysler Automobiles N.V. (NYSE:FCAU) announced that its wholly-owned subsidiary FCA US LLC has reached final settlements on civil, environmental and consumer claims with the U.S. Environmental Protection Agency (EPA), U.S. Department of Justice (DOJ), the California Air Resources Board (CARB), the State of California, 49 other States and U.S. Customs and Border Protection, agreeing […]
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