Three Get Jail Time For Scam Against Insurance Company

Atlanta Business Chronicle

Three metro Atlantans were sentenced to federal prison late Tuesday for running a $384,000 check fraud scheme against Underwriters Safety & Claims.

Susan Denise Harper, 43, of Lithonia, Ga., was sentenced to four years in federal prison, three years of supervised release. She also was ordered to perform 150 hours of community service and to pay $378,295 in restitution.

Kevian Bateman, 27, of Atlanta was sentenced to three years in federal prison, to be followed by three years of supervised release, and also ordered to perform 150 hours of community service, and pay $378,295 in restitution.

Ojineka Jones Godwin, 51, of Alpharetta, Ga., was sentenced to two years and nine months in federal prison, to be followed by three years of supervised release, and must pay $299,500 in restitution.

A fourth defendant, Charles Faust Jr. 52, of Atlanta, is expected to be sentenced at a later date.
Harper was employed at Underwriters Safety & Claims (US&C) as a claims adjuster and supervisor of the Property and Casualty Division. She manipulated US&C's computer system to issue checks to fraudulent payees. Her first method was to re-open an insurance claim, changing the name of the claimant to a fraudulent payee, in some instances recording false notes regarding the nature of the claim, and causing a payment to be issued. The second method involved Harper creating a fictitious claimant and corresponding documentation and then issuing a payment. The checks would be cut at US&C's headquarters and then mailed to the fraudulent payees in Georgia. Upon receipt of a check, the payee would negotiate it and Harper would get the proceeds. Harper, who holds a law degree but is not a practicing attorney, was found guilty by a federal jury after trial.

Bateman worked under Harper at US&C, and recruited others to negotiate checks. He pleaded guilty to one count of conspiracy.

Godwin negotiated 14 checks, and also pleaded guilty to one count of conspiracy.
Faust negotiated 3 checks and also pleaded guilty to one count of conspiracy.
The fraudulent payees were paid for their services for helping to negotiate the checks. The total loss to US&C was more than $384,000.

"Many fraud cases start with company insiders who are in a position of trust, but, as in this case, instead betray their employer and recruit others to help steal corporate cash," U.S. Attorney David E. Nahmias said. "These cases can be difficult to investigate, with complex money trails, but the Secret Service and Postal Inspection Service again showed their expertise in nailing down the evidence and bringing the defendants to justice."