CFO Sink, State Attorney Corey Announce Arrest of Scott Cates with Lee & Cates Glass for Insurance Fraud Scheme
FOR IMMEDIATE RELEASE: August 5, 2009
CONTACT: Kyra Jennings or Jennifer Hirst (850) 413-2842
CFO SINK, STATE ATTORNEY COREY ANNOUNCE ARREST OF SCOTT CATES WITH LEE & CATES GLASS FOR INSURANCE FRAUD SCHEME
Windshield Replacement Stores in Jacksonville Billed Over 1,300 Fraudulent Insurance Claims
TALLAHASSEE —Florida CFO Alex Sink and State Attorney Angela Corey today announced the arrests of Scott Cates, Vice President of Operations for Lee and Cates Glass, Inc., for Cates’ involvement in a scheme that resulted in over 1,300 fraudulent insurance claims. Scott Cates and Jennifer Lamunyon Cribb, a former employee of Lee and Cates Glass, were arrested today after investigators found that four Lee and Cates Glass, Inc. stores located in Jacksonville allegedly overbilled numerous insurance companies more than $540,000 on over 1,300 separate fraudulent insurance claims.
An investigation by CFO Sink’s Division of Insurance Fraud revealed that employees at Lee and Cates Glass Company stores allegedly overbilled windshields and associated parts by billing insurance companies for a more expensive dealer windshield but installing a less expensive substitute. Ten employees of Lee and Cates Glass, including Vice President of Operations Scott Cates, have been arrested since April 2009 as part of this investigation. Today’s arrests were successful because of the partnership between the Division of Insurance Fraud and the State Attorney’s Office of the Fourth Judicial Circuit.
“Our insurance fraud investigators are committed to cracking down on those who attempt to take advantage of Floridians,” said CFO Sink. “Fraud doesn’t just hurt the insurance companies – it inflicts real financial pain on families, businesses and communities.”
“We very much appreciate the financial and investigative support that CFO Sink has provided to us and we intend to aggressively prosecute these cases,” said State Attorney Angela Corey.
Scott Cates has been charged with scheming to defraud, conduct of or participation in an enterprise through a pattern of racketeering activity and three counts of conspiracy to commit fraud. Jennifer Lamunyon Cribb has been charged with scheming to defraud and presenting a false insurance claim. Additional arrests are expected.
The Division of Insurance Fraud (DIF), a sworn law enforcement agency, investigates various forms of fraud in insurance, including health, life, auto, property and workers' compensation insurance. Depending on the estimated loss amount, the department will pay up to $25,000 for information directly leading to an arrest and conviction. Anyone with information about this or any other suspected insurance fraud is asked to call the department's Fraud Fighters Hotline at 1-800-378-0445 or log on to www.MyFloridaCFO.com/fraud