Saturday, April 23, 2011

Former Philadelphia Police Officer Sentenced for Insurance Scam

PHILADELPHIA—Drexel Reid, 39, of Philadelphia, was sentenced today to 30 months in prison for an insurance fraud scheme that cost insurance companies more than $450,000, announced United States Attorney Zane David Memeger. Reid pleaded guilty on June 22, 2009, to 11 counts of mail fraud, one count of wire fraud, and one count of extortion under color of official right.

Reid was a Philadelphia Highway Patrol Officer at the time of the scheme. Between August 2003 and May 2007, Reid’s co defendant, tow truck driver Jerry Blassengale, Jr., solicited people to be involved in staged or completely fictitious accidents and fictitious vandalism claims for purposes of submitting fraudulent insurance claims. Reid would create false police reports to send to insurance companies for which Blassengale paid him. Blassengale staged a total of 11 phony events for which claims were sent to the respective insurance companies.

In addition to the prison term, U.S. District Court Judge Michael M. Baylson ordered Reid to pay restitution in the amount of $211,709.22, a $1,300 special assessment, and to complete three years of supervised release.

The case was investigated by the Federal Bureau of Investigation and the Insurance Fraud Unit in the Philadelphia District Attorney's Office. It was prosecuted by Assistant United States Attorney Anthony J. Wzorek.

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