Calif. Trio Charged with 28 Counts of Auto Fraud

Three suspects were arrested and charged with 28 felony counts after an investigation by multiple agencies into a staged auto collision ring in the Los Angeles area, which cost insurance companies an estimated $1 million in false claims payments.

The suspects were booked into the Los Angeles County Central Jail on charges that include: insurance fraud, grand theft, conspiracy, failure to file income tax, and money laundering. The Auto Insurance Fraud Division of the Los Angeles County District Attorney’s Office (LADA) will prosecute the cases.

The suspects, Attorney Robert Belshaw, Solomon Davis, and Timothy Quinn, M.D., were arrested on July 2, after an 18-month investigation by the California Department of Insurance (CDI), LADA, and the California Highway Patrol (CHP). The Orange County Auto Theft Task Force assisted with the arrests. The suspects were booked into the Los Angeles County Jail and bail was set at $1,000,000 for Davis, $200,000 for Belshaw, and $30,000 for Quinn.

Investigators have linked the suspects to a crime group that is suspected of staging numerous collisions from 1999 to 2002. It is anticipated that evidence collected from search warrants conducted at a Los Angeles area medical clinic, law office and management companies and a Rancho Palos Verdes residence will reveal more staged collisions.

Also involved in the investigation were investigators from the Franchise Tax Board (FTB), State Bar of California, and the National Insurance Crime Bureau. The FTB is filing charges for State Income Tax Evasion against Davis, 59, of Rancho Palos Verdes and Belshaw, 54, of Marina Del Rey. Members from the Special Investigative Units from Mercury Insurance and State Farm Insurance also assisted in the investigation.

Participants of these staged collisions would allegedly locate a victim, pull in front of the insured driver and abruptly apply the brakes, causing the victim to crash into the suspect’s vehicle. A majority of the accident participants were treated at Total Medical Health Care and were represented by Belshaw’s law office.

The investigation began in September 2001, when Alphonso Robinson, John Teague and Christy Hereford reportedly staged such a collision and were arrested by CHP at the scene and were later convicted of insurance fraud.

Davis is the office administrator for Belshaw’s law office. Davis is also the owner of Total Medical Health Care, Prestigious Management Services Inc. and Might Roar Entertainment. Prestigious is the management company for Belshaw’s law office and Total Medical Health Care. Davis, a non-attorney, maintains a law office within Total Medical Health Care.

The suspects allegedly brought cases to Davis and claimants were required to complete forms and then sign in for treatment. The claimants visited Total Medical Health Care anywhere from two-eight times, but the clinic then allegedly billed the insurance companies for as many as 32 visits.

Some of the claimants requested an advance on the money they expected to receive from the insurance companies. The management company owned by Davis would then issue a check to the claimant often charging a $100 check-cashing fee. Davis would then allegedly bilk the claimants out of the rest of the insurance money due them.