Body Shop Owner and Manager Charged with Insurance Fraud
July 8, 2009
A body shop owner and manager were arrested last week in California
stemming from allegations of insurance fraud, according to reports
from the California Insurance Commissioner's office. Choice Auto
Body owner Dong Suk Choi, 52, of Union City, Calif., and Timothy
Zen Powell, 32, of Palo Alto, Calif., manager of the company's Santa
Clara, Calif., location, were arrested July 1 and charged with multiple
counts of automobile insurance fraud. Bail for the men was set at
According to reports from the insurance commissioner, Farmers Insurance
b re-inspected 28 vehicles repaired by two Choice Auto Body locations,
one in Newark, Calif., and one in Santa Clara, and discovered that
the company had allegedly over-billed Farmers for repair costs on
20 of these. Farmers claimed that the body shop repaired old parts
while billing Farmers for a brand-new part, or uses inferior parts
in some cases-costing the insurer an excess of approximately $15,000.
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