Joint Investigation Leads To Indictment Of 12 For Auto Theft And Insurance Fraud

Attorney General Spitzer and State Superintendent of Police Wayne Bennett today announced the indictment of 12 individuals involved in auto theft and insurance fraud in Orange County.

"Insurance fraud is a crime that costs consumers millions of dollars every year in higher premiums," said Spitzer. "My office is working with law enforcement partners to combat the problem."

The arrests were a result of a joint investigation conducted by the New York State Attorney General's Office and the New York State Police’s Special Investigations and Automobile Theft Units.

New York State Police Superintendent Wayne Bennett said: "These indictments are the result of a collaborative and thorough investigation by our Special Investigations Unit and the State Attorney General’s Office. This case has brought to justice individuals who, through an elaborate scheme, defrauded insurance companies by lying about vehicle thefts to gain financial benefits. Ultimately, this is an expense the general public would bear through increased premiums."

The 12 individuals are charged in two separate indictments. The indictments cover conduct which allegedly took place between December 1, 2003 and April 25, 2005 and involves 19 cars. Eight of the cars had been stolen from their owners, while eleven others had been falsely reported stolen. In total, insurance carriers paid out $166,770 based on the false claims. Rudolph Turner, 24, of Newburgh, is charged in both indictments.

The first indictment, dealing with the stolen cars, charges Turner alone with eight counts of Criminal Possession of Stolen Property in the third degree, class "D" felonies.

The second indictment, dealing with the cars that were falsely reported as stolen, charges Turner and the eleven other individuals. The crimes charged include Insurance Fraud in the Third Degree and Grand Larceny in the Third Degree, class "D" felonies and Scheme to Defraud in the First degree, Attempted Grand Larceny in the Third Degree, Offering a False Instrument for Filing in the First Degree and Falsifying Business Records in the First Degree, all class "E" felonies.

Turner’s co-defendants in the second indictment are: Cynthia Bruno, 40, of Middletown; Dominic Calderone, 36, of Marlboro; Julianne Callister, 27, of Marlboro; Todd Schebesta, 28, of Newburgh; Joseph Fabiano, 32, of Newburgh, Nicole Perry, 28, of Newburgh; Stacie Laskin, 28, Newburgh; Omar Jabbour, 52, of New Windsor; Kristen Parrone, 30, of New Windsor; and Richard Luongo, 25, of Montgomery.

If convicted of the most serious charges, Turner faces up to 14 years in prison; Calderone, Callister, Schebesta, Fabiano, Perry, Laskin, Jabbour, Parrone, Luongo, and Herman face up to seven years in prison. Bruno, has been charged with the Attempted Grand Larceny, a class "E" felony, and faces a maximum sentence of four years in prison.

Eleven defendants were arraigned today before the Honorable Jeffery G. Berry, in Orange County Court.

The charges are merely accusations and the defendants are presumed innocent until and unless proven guilty.

The case is being prosecuted by Assistant Attorney General Richard Ernst, under the supervision of Steven N. Nachman, Chief of the Attorney General’s Automobile Insurance Fraud Unit; and Assistant Deputy Attorney General John W. Dormin of the Organized Crime Task Force. The case was investigated by Senior Investigators Peter T. Kontos and Mark J. Yanitelli, under the supervision of Lieutenant George K. Nohai and Major Frank H. Koehler, of the New York State Police, and Investigator Royal Remington, under the supervision of Supervising Investigator David Adams of the Attorney General’s Investigation Bureau.