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Rice, Carlos Jose Emanuel Rice that is, was the alleged capper in an auto fraud ring that was recently smashed by the California DOI. Others taken down in the same operation include Maria Perez, Rafer George Henderson and Flinoyd Brown, all of Los Angeles and all alleged claimants; Billy Gayelene Henry of Inglewood (a body shop employee) and Arthur Lee Armstrong of Carson, the owner of Art’s Collision Center.
The undercover investigators who worked the ring reported that Rice solicited individuals to become participants in staged traffic collisions on streets and freeways. He would then allegedly sell the cases to unscrupulous attorneys, who would, in turn, file a claim against an insurer with the hope of making a large settlement.
The staged accident scenario supposedly occurred as follows:
Rice arranged for a claimant to take an undamaged vehicle to Art’s Collision Center. Rice fabricated a story as to how the collision occurred and accompanied the claimant to a nearby CHP office to file a report. He would then make up the facts of the accident and coach the claimant on what to say to the insurance company. The claimants were then referred to Dr. Olantungle Clarence Fergusson, a West Hills chiropractor, for treatment of injuries they never received.
Throughout the investigation, DOI fraud investigators played the role of claimants whom Rice took through the alleged staged collision process. The undercover vehicle used was undamaged when it was taken to Art’s Collision Center. Approximately two weeks later, the same vehicle was said to have sustained extensive collision damage. The estimate to repair the vehicle was $3,842.00. The investigation revealed that Rice was suspected to have set up other staged collisions. Search warrants were served at three Los Angeles area law offices, a medical clinic, Art’s Collision Center and three Los Angeles area residences.
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