8 people charged for insurance fraud

Eight people were hauled to Court Friday for offences relating to motor vehicle insurance fraud.

One suspect was rounded up after an insurance company alerted the Commercial Affairs Department (CAD) of a scam in 2009.

The case involved fraudulent personal injury claims made by a 38-year-old man for road traffic related accidents.

CAD investigations showed that the suspect had staged an accident to make insurance claims for damages and personal injury.

He is alleged to have caused the accident by wilfully applying the brakes to abruptly slow down the car that he was driving.

This caused a lorry which was approaching from behind to collide with the rear of the car.

The other suspects are men aged between 31 and 53.

They are believed to have conspired to cheat insurers by engaging law firms to initiate personal injury proceedings.


It’s alleged the men had led insurers into believing that they were passengers in vehicles which were involved in accidents.

Anyone convicted of cheating can be jailed up to 10 years and fined.

The 38-year-old suspect in the first case faces an additional charge of reckless driving.

If convicted, he could be fined up to S$3,000 and jailed up to 12 months.

Director of the Commercial Affairs Department Mr Ong Hian Sun said: “Police take a very serious view of such offences. We will not hesitate to take firm action against perpetrators of such crimes.” 

Source: Channel NewsAsia, 3rd September 2010