CAPE CORAL, Fla. — A major insurance fraud bust in Cape Coral lands four people in handcuffs. Wednesday, Cape Coral police joined forces with state and federal agencies for a raid at chiropractor Stephen Lovell’s office. His practice, Extreme Care Rehabilitation, is in the 2000 block of Del Prado Boulevard. As WINK News found out, Wednesday’s arrests are just the beginning.
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Agents with the United States Secret Service and Cape Coral Police officers worked hand in hand raiding chiropractor Stephen Lovell’s office. They took away boxes and changed the locks and a source close to the case says this is a major bust.
With boxes in hand, officers and undercover agents hauled away record, medical tables and even the copy machine from chiropractor Stephen Lovell’s Cape Coral office. Michelle Deal, the property manager, says she never say anything out of the ordinary.
“They’ve been here for awhile, they’ve been great tenants. There was nothing, per the officer, that I should be aware of,” said Deal.
Cape Coral police say the worked with the United States Secret Service and other state and federal agencies and a list of insurance companies over the last 12 months to uncover personal injury protection and PIP fraud. Lovell and three others, including Antonio Arroyo’s wife, were arrested.
“This is a clinic and she worked here as a therapist. I don’t know anything else,” said Arroyo.
“I was surprised. I’m going to have to say most the building was surprised. Seemed like it was well organized by the authorities,” said Deal.
PIP fraud works like this: Scammers stage a crash and then fake injuries. They visit a doctor who charges the insurance company for bogus claims and then the fraudsters split the money. Just weeks ago, Florida lawmakers passed a PIP fraud reform bill.
“This is a bill that delivers on my promise to reduce the cost of living in this state by reducing fraud, stopping the growing cost related to accident fraud and ultimately saving Floridians money that otherwise would have found its way into the pockets of fraudsters, unethical providers and trial lawyers. I applaud the legislature for this decision that will help every Floridian policyholder,” said Governor Scott.
This scam costs the insurance industry $1 billion a year then you pay for it in higher premiums. Cape Coral police plan to release more on Wednesday’s bust at a press conference on Thursday at 11 a.m. WINK News will bring you that on WINK News at Noon.
