0:00:04 > 0:00:07Insurance fraud in the UK is reaching epidemic levels
0:00:07 > 0:00:10and it's costing us billions of pounds every year.
0:00:10 > 0:00:12Whoa!
0:00:12 > 0:00:15Deliberate crashes, bogus personal injury claims,
0:00:15 > 0:00:17even phantom pets.
0:00:19 > 0:00:22The fraudsters are risking more and more to make a quick killing.
0:00:23 > 0:00:27And every year it's adding up to £50 to your insurance bill.
0:00:30 > 0:00:32Insurers are fighting back.
0:00:32 > 0:00:35Armed with covert surveillance systems...
0:00:35 > 0:00:38MAN: That's the subject out the vehicle.
0:00:38 > 0:00:41..sophisticated data analysis techniques
0:00:41 > 0:00:44and highly skilled, dedicated police units...
0:00:45 > 0:00:47Police! Don't move! Stay where you are!
0:00:47 > 0:00:50..they're catching criminals red-handed.
0:00:50 > 0:00:53All those conmen, scammers and cheats on the fiddle,
0:00:53 > 0:00:58now they're caught in the act and claimed and shamed.
0:01:06 > 0:01:11Today, the police insurance fraud team, IFED, is hunting down suspects.
0:01:11 > 0:01:15He was running out the back door, so don't say there's no problem.
0:01:15 > 0:01:19Surveillance footage is used to quash a hugely exaggerated compensation claim.
0:01:19 > 0:01:22Eureka! It's a really good moment
0:01:22 > 0:01:24to catch this woman doing what she was doing.
0:01:24 > 0:01:27- And a hire-car smash goes viral. - MAN: Whoa!
0:01:27 > 0:01:29Good for YouTube, not very good for us,
0:01:29 > 0:01:31not very good for business and not good for him.
0:01:34 > 0:01:37With ever-increasing amounts of traffic on the roads,
0:01:37 > 0:01:39minor accidents are unavoidable.
0:01:39 > 0:01:43A busy town in Essex was the scene of one such incident
0:01:43 > 0:01:45involving a bus.
0:01:45 > 0:01:49Five months later, the bus company heard from Emma Piper,
0:01:49 > 0:01:51one of the passengers who'd been on board.
0:01:51 > 0:01:54She claimed that she'd been injured as a result.
0:01:54 > 0:01:57Lee Ingram from First Group's Transportation Claims division
0:01:57 > 0:01:59worked on the case.
0:01:59 > 0:02:03Ms Piper alleges that on 27th June 2003
0:02:03 > 0:02:05a bus had overshot the turning
0:02:05 > 0:02:08and was reversing back when it clipped the kerb and a sign.
0:02:08 > 0:02:11She's alleging that she was sat at the back of the bus
0:02:11 > 0:02:14with her child on her lap and she subsequently injured her back.
0:02:14 > 0:02:17The team started an investigation.
0:02:17 > 0:02:19They began by talking to the driver
0:02:19 > 0:02:22but immediately drew a blank when they asked him what had happened.
0:02:22 > 0:02:25Of this particular occasion, he had no recollection.
0:02:25 > 0:02:29It seemed as if the original accident had been minor.
0:02:29 > 0:02:32We therefore made quite a low offer to her.
0:02:32 > 0:02:34But she rejected the offer
0:02:34 > 0:02:38and went on to claim that she was suffering from a long list of health issues,
0:02:38 > 0:02:41including back problems and walking difficulties.
0:02:41 > 0:02:45She was claiming the higher level of Disability Living Allowance,
0:02:45 > 0:02:48which would suggest that she would have a severe walking difficulty
0:02:48 > 0:02:51and in some circumstances, she could not walk at all.
0:02:51 > 0:02:54She's also claiming that she was unable to lift her child.
0:02:54 > 0:02:59The claimant states that following this accident, all of her hobbies ceased.
0:02:59 > 0:03:02One of her hobbies was actually roller-skating.
0:03:02 > 0:03:06She carried on to claim that she was unfit for any type of work
0:03:06 > 0:03:09and would not be able to work again in the future.
0:03:09 > 0:03:11The severity of the alleged injuries meant
0:03:11 > 0:03:14the amount she was claiming for was enormous.
0:03:14 > 0:03:19The claim submitted was round about the half million mark in total.
0:03:19 > 0:03:23Lee and his team decided to place Emma Piper under surveillance.
0:03:23 > 0:03:27What they found was a revelation and totally contradicted her claim.
0:03:30 > 0:03:35The most obvious thing that jumps out is her removing things from the rear of the car,
0:03:35 > 0:03:38which at one stage included her holding her handbag,
0:03:38 > 0:03:41which seems to be quite a hefty handbag, at arm's length
0:03:41 > 0:03:45and also managing to haul out of the back of the car a car battery.
0:03:45 > 0:03:49One of her main complaints is that she couldn't lift and carry her children.
0:03:49 > 0:03:51She is clearly seen to be doing this.
0:03:51 > 0:03:55She also alleged that she had walking difficulties and back pain
0:03:55 > 0:03:59but is seen walking freely and carrying heavy items.
0:03:59 > 0:04:02She's also seen driving on many occasions,
0:04:02 > 0:04:04something she claimed caused discomfort.
0:04:04 > 0:04:08When we saw this, the actual extent of the things that she was doing
0:04:08 > 0:04:10just made us think, "Eureka!"
0:04:10 > 0:04:14It's a really good moment to catch this woman doing what she was doing.
0:04:14 > 0:04:17And her claim to have been forced to give up the hobbies she loved
0:04:17 > 0:04:19also appeared to be in dispute.
0:04:19 > 0:04:23We made some checks with the club of which she was a member for roller-skating
0:04:23 > 0:04:25and spoke to the manager of the roller rink,
0:04:25 > 0:04:29who kindly provided us with records of her subsequent attendance.
0:04:29 > 0:04:33And there were also incidents where she had reported injuries to them
0:04:33 > 0:04:35after she had been skating.
0:04:35 > 0:04:37During a speed-skating session
0:04:37 > 0:04:41she had managed to skate into the end wall and winded herself.
0:04:41 > 0:04:44Despite the overwhelming evidence, Piper insisted
0:04:44 > 0:04:48on pursuing her huge claim and both sides ended up in court
0:04:48 > 0:04:49more than once.
0:04:49 > 0:04:55We actually had 26 court hearings, three appeals and three trials.
0:04:55 > 0:04:58It was impossible to argue with the surveillance evidence
0:04:58 > 0:05:00and the final result was unsurprising.
0:05:00 > 0:05:04The judge found Ms Piper to be wholly unreliable.
0:05:04 > 0:05:07The judge found that there may have been an incident
0:05:07 > 0:05:13but if there was, it had only caused a very short period of injury to the claimant.
0:05:13 > 0:05:17Subsequently, he made an award of just under £1,050.
0:05:17 > 0:05:22That is something like 0.2% of the original claim that was submitted.
0:05:22 > 0:05:24But the story didn't end there for Piper.
0:05:24 > 0:05:28In the event that a reasonable offer is made and then rejected,
0:05:28 > 0:05:31when the judge finally makes his decision
0:05:31 > 0:05:33he is going to award costs in your favour
0:05:33 > 0:05:35and that is exactly what's happened in this case.
0:05:35 > 0:05:38She subsequently has to foot the bill for the legal costs.
0:05:38 > 0:05:42The costs will run into tens of thousands of pounds
0:05:42 > 0:05:46and we do intend to fully pursue Ms Piper for that money.
0:05:46 > 0:05:50Emma Piper's greed ultimately led to her downfall
0:05:50 > 0:05:52and instead of walking away with compensation,
0:05:52 > 0:05:54she's now left with a huge bill.
0:05:57 > 0:05:59This is a great result for First Group
0:05:59 > 0:06:01in that we managed to successfully defend
0:06:01 > 0:06:05what could potentially have been a very large claim.
0:06:09 > 0:06:12One of the UK's biggest insurance fraud rings is busted.
0:06:12 > 0:06:15That would have represented a loss to the industry
0:06:15 > 0:06:17of about £6.5 million.
0:06:17 > 0:06:19And a driver is left with a hefty bill
0:06:19 > 0:06:22after taking a hire car for a spin on a race track.
0:06:22 > 0:06:25- Whoa!- He wouldn't have taken his own car on this race day,
0:06:25 > 0:06:27so why on earth is he taking our car?
0:06:31 > 0:06:35Combating the ever-increasing threat of insurance fraud is an elite police squad
0:06:35 > 0:06:38known as IFED, the Insurance Fraud Enforcement Department.
0:06:38 > 0:06:42IFED is a 35-strong unit that works tirelessly
0:06:42 > 0:06:45to hunt down and prosecute insurance fraudsters,
0:06:45 > 0:06:48wherever they may be, throughout England and Wales.
0:06:48 > 0:06:49They've made over 300 arrests
0:06:49 > 0:06:53and have saved millions of pounds in fraudulent insurance claims,
0:06:53 > 0:06:56money which, ultimately, goes back in our pockets.
0:06:56 > 0:06:59From now on, fraudsters need to watch their backs.
0:06:59 > 0:07:02Since the formation of IFED in January 2012,
0:07:02 > 0:07:05the goalposts have moved
0:07:05 > 0:07:07and now, if you commit insurance fraud,
0:07:07 > 0:07:10there's every chance you may get a knock on your front door.
0:07:11 > 0:07:13Police! Don't move! Stay where you are!
0:07:13 > 0:07:19Head of IFED, DCI David Wood, and DC Tom Hill are working on a case of insurance fraud
0:07:19 > 0:07:22involving on-line motor insurance policies.
0:07:22 > 0:07:26The investigation has reached the stage where they're ready to make arrests
0:07:26 > 0:07:29and collect hard evidence of suspected criminal activity.
0:07:29 > 0:07:32We're going to execute a search warrant
0:07:32 > 0:07:34for an insurance fraud.
0:07:34 > 0:07:38The suspects are believed to be what's known as ghost brokers,
0:07:38 > 0:07:44a term for when fraudsters falsify details such as ages and addresses
0:07:44 > 0:07:48to get the cheapest possible insurance deal
0:07:48 > 0:07:51and then sell it on to third parties
0:07:51 > 0:07:53at a substantial profit.
0:07:54 > 0:07:57Innocent policy holders scammed by the ghost brokers
0:07:57 > 0:08:02often have no idea their insurance isn't worth the paper it's written on.
0:08:02 > 0:08:05The next step in the investigation is to gather evidence
0:08:05 > 0:08:07to strengthen their case,
0:08:07 > 0:08:11so the IFED team is about to pay the suspects an early morning visit.
0:08:11 > 0:08:14So we've got a search warrant to search
0:08:14 > 0:08:18and we'll seize computer equipment and mobile phones
0:08:18 > 0:08:22that we were believe were used to take out the policies.
0:08:22 > 0:08:27What we don't know is what's going to be behind the door - we can do checks, research and intelligence.
0:08:27 > 0:08:32However, you never actually know until you go through the door,
0:08:32 > 0:08:34so you've got to be on your toes.
0:08:34 > 0:08:38The IFED team needs to find the three main suspects
0:08:38 > 0:08:41and also potential evidence in the form of computer equipment
0:08:41 > 0:08:44that links them to the suspected scam.
0:08:44 > 0:08:47The IFED team, together with support from the local police force,
0:08:47 > 0:08:51has arrived outside the house where they believe the three suspects live.
0:08:51 > 0:08:54What we're doing is we're all getting in position.
0:08:54 > 0:08:57We're covering the back should anyone try and get away
0:08:57 > 0:09:00or any evidence get discarded from the back of the property.
0:09:00 > 0:09:02Once we're ready, we'll knock on the door.
0:09:02 > 0:09:04Let's do it, lads.
0:09:08 > 0:09:10Police!
0:09:13 > 0:09:15- Morning.- Morning. - We're police officers.
0:09:15 > 0:09:17We've got a search warrant.
0:09:17 > 0:09:19After a delay, they're let into the house
0:09:19 > 0:09:22and have to move quickly to lock down the building
0:09:22 > 0:09:25and identify the suspects they want to arrest.
0:09:25 > 0:09:26Who's in here?
0:09:26 > 0:09:29The occupants are less than happy to see IFED.
0:09:29 > 0:09:32SPEECH BLEEPED OUT
0:09:34 > 0:09:38The IFED team takes the man and woman into the front room to arrest them
0:09:38 > 0:09:41but so far, there's no sign of the third suspect.
0:09:41 > 0:09:46Let me explain. We've got a search warrant for the address
0:09:46 > 0:09:49- which relates to insurance fraud. - MAN:- Sorry?
0:09:49 > 0:09:51- Do you speak English? - WOMAN: Yes. I do.
0:09:51 > 0:09:55So you'll come to the police station and we'll interview you.
0:09:55 > 0:09:56- OK, no problem. - Yeah?
0:09:56 > 0:10:01There's a problem when the suspects start speaking to each other in another language.
0:10:01 > 0:10:04Just stop a minute. Do you mind speaking in English?
0:10:04 > 0:10:08Just speak in English, OK? Otherwise we'll take one of you to the car.
0:10:08 > 0:10:11- That's all right. - Just speak in English, OK?
0:10:12 > 0:10:14MAN SPEAKS INDISTINCTLY
0:10:14 > 0:10:18Tom needs to ensure that they're not exchanging information
0:10:18 > 0:10:19that could affect his case.
0:10:19 > 0:10:23The delay in gaining access to the property has made the team suspicious
0:10:23 > 0:10:26and they check out the back yard.
0:10:26 > 0:10:30We're a little bit concerned that it took them some time to open the door.
0:10:31 > 0:10:32We have got power of entry
0:10:32 > 0:10:36but we don't like to smash people's doors down unless we have to.
0:10:36 > 0:10:38We're looking for electronic devices
0:10:38 > 0:10:40that this fraud has been perpetrated on,
0:10:40 > 0:10:43so we're talking computers, laptops, smart phones, perhaps.
0:10:43 > 0:10:48And we don't know whether he had sufficient time to come out into the yard
0:10:48 > 0:10:52and secrete maybe a telephone, perhaps.
0:10:52 > 0:10:53One, two, three.
0:10:55 > 0:10:58The search continues inside and it's not long
0:10:58 > 0:11:01before they find the computer equipment they're looking for
0:11:01 > 0:11:03but in an unexpected place.
0:11:05 > 0:11:09Not a common place to keep laptops in, your bathroom, is it?
0:11:09 > 0:11:14Decide where you're going to be because you're all over the place.
0:11:14 > 0:11:17- I'm just going...- You're jumping up and running off. Calm down.
0:11:17 > 0:11:20You can't be going up and down the stairs.
0:11:20 > 0:11:24- I want to see the...- No, she's all right.- Just sit down there.
0:11:24 > 0:11:28It's clear by now that the third suspect isn't in the house,
0:11:28 > 0:11:31so they concentrate on going through the paperwork
0:11:31 > 0:11:35and it's not long before DCI David Wood turns up something significant.
0:11:35 > 0:11:37What we've got here is a bank statement
0:11:37 > 0:11:41for the lady who's just been arrested.
0:11:41 > 0:11:44This is good for us because it's showing the actual card payments
0:11:44 > 0:11:48going from her bank account to the insurance company.
0:11:48 > 0:11:51For example, on one day there are five separate payments
0:11:51 > 0:11:57to the one insurance company, each for sums of 40, 50, £60 - that is highly unusual.
0:11:57 > 0:12:01There's money coming into the account which we would suspect to be
0:12:01 > 0:12:04from people that are buying the bogus policies from these suspects.
0:12:04 > 0:12:11And further examination of the bank account shows monies going back to their homeland.
0:12:11 > 0:12:13There's a transfer there of £12,000.
0:12:13 > 0:12:16That's quite a busy bank account she's got there.
0:12:16 > 0:12:21Erm, excuse me, we noticed that by the baby there's a phone.
0:12:22 > 0:12:25A mobile phone.
0:12:25 > 0:12:27Just underneath the blanket. That's it. We need that.
0:12:27 > 0:12:31- Er, no, excuse me, excuse me. - You just give that to me.- Yes.
0:12:31 > 0:12:35- Whose is that?- Is this your phone? - No, my daughter.
0:12:35 > 0:12:36Your daughter's phone?
0:12:36 > 0:12:39We're happy, though, Tom, aren't we, with the bank statements?
0:12:39 > 0:12:44Yeah, and there's so many computers. Over ten. Over ten so far.
0:12:44 > 0:12:48Obviously, there's a lot of phones that be used to access the internet,
0:12:48 > 0:12:50so we've seized a few phones.
0:12:50 > 0:12:55Downstairs, a key piece of suspected evidence has been recovered from its hiding place.
0:12:57 > 0:13:00As the IFED team goes through what they've found,
0:13:00 > 0:13:03the suspects are taken to a local police station for questioning.
0:13:03 > 0:13:06The material they've collected looks promising
0:13:06 > 0:13:09but they're still missing a vital part of the puzzle
0:13:09 > 0:13:12and perhaps the key to the whole case - the third suspect.
0:13:12 > 0:13:16He was running out the back door, so don't say there's no problem.
0:13:19 > 0:13:23The Audi RS 4 is a top-of-the-range sports car.
0:13:23 > 0:13:25It is typical of the sort of prestige vehicle
0:13:25 > 0:13:27that is stocked by Accidents Exchange.
0:13:27 > 0:13:31They provide temporary replacement vehicles for policy holders.
0:13:31 > 0:13:34Neil Thomas is director of investigative services.
0:13:34 > 0:13:37If somebody's involved in a non-fault accident,
0:13:37 > 0:13:40they are entitled in law to a replacement like-for-like car.
0:13:40 > 0:13:43And that's where Accident Exchange comes in,
0:13:43 > 0:13:45supplying the vehicles in question.
0:13:45 > 0:13:47In what seemed like a straightforward case,
0:13:47 > 0:13:50the company had provided a vehicle to a driver
0:13:50 > 0:13:52who'd suffered a non-fault accident
0:13:52 > 0:13:54and was waiting for his own car to be fixed.
0:13:54 > 0:13:58This particular car was an Audi RS 4 estate car,
0:13:58 > 0:13:59which is a sports car,
0:13:59 > 0:14:03valued at probably about £40,000 or £50,000 at the time.
0:14:03 > 0:14:05So far, so routine
0:14:05 > 0:14:09but it wasn't long before Accident Exchange received a phone call from the driver,
0:14:09 > 0:14:13who informed them that he needed a replacement car for his replacement car.
0:14:13 > 0:14:16Against the odds, he'd had another serious accident.
0:14:16 > 0:14:21The client said that he was driving in a country lane,
0:14:21 > 0:14:25lost control of the car and collided with a ditch at the side of the road.
0:14:27 > 0:14:29Accident Exchange recovered the vehicle
0:14:29 > 0:14:31so they could assess the damage.
0:14:31 > 0:14:32It was scrap value, really.
0:14:32 > 0:14:36A car like that is a very expensive commodity to repair,
0:14:36 > 0:14:40so the damage was sufficient that it was written off by the insurance company.
0:14:40 > 0:14:45But something about the driver's version of events didn't add up.
0:14:45 > 0:14:48We've got 3,000 vehicles and we investigate all collisions,
0:14:48 > 0:14:50certainly where the cars are written off.
0:14:50 > 0:14:53Our suspicions were aroused because of the level of the damage.
0:14:53 > 0:14:59The driver said the accident had happened on a quiet country lane with no witnesses.
0:14:59 > 0:15:01There was no proof either way. There's no CCTV.
0:15:01 > 0:15:07There's nothing to negate or prove how the collision had occurred.
0:15:07 > 0:15:10It was clear that the case needed further investigation.
0:15:10 > 0:15:13In common with most top-of-the-range vehicles,
0:15:13 > 0:15:17the Audi RS 4 is fitted with a raft of sophisticated security features,
0:15:17 > 0:15:19including a tracking system.
0:15:19 > 0:15:21We examined the technology within the vehicle,
0:15:21 > 0:15:25which indicated that, firstly, the accident hadn't happened how he said
0:15:25 > 0:15:28and, secondly, it wasn't in the location he said it was.
0:15:28 > 0:15:32The driver said he crashed the car on a B road in Castle Combe, Wiltshire.
0:15:32 > 0:15:36The tracker showed that he was in Castle Combe but not on a B road.
0:15:37 > 0:15:40The intelligence we got from the car and the investigation
0:15:40 > 0:15:44showed that this guy had taken the car to a race track for a race day.
0:15:48 > 0:15:49It was a breakthrough
0:15:49 > 0:15:55and if the driver hadn't had such a top-of-the-range car, he might not have been caught out.
0:15:55 > 0:15:58The tracker showed he'd lied about the location
0:15:58 > 0:16:01and the crash had actually happened on a race track during an open day.
0:16:01 > 0:16:05Rodney Gooch works at Castle Combe Circuit.
0:16:05 > 0:16:07Castle Combe Circuit was established in 1950
0:16:07 > 0:16:09on the site of an old wartime airbase,
0:16:09 > 0:16:11been racing ever since.
0:16:11 > 0:16:14Seen most of the big names in British motor racing.
0:16:14 > 0:16:17It's a very demanding track. It's 1.85 miles around.
0:16:17 > 0:16:19It has very challenging corners.
0:16:19 > 0:16:24My advice to you, as always, when you start off, take it steady.
0:16:24 > 0:16:26But more evidence was to come
0:16:26 > 0:16:30in the form of a video clip of the race day that appeared on line.
0:16:30 > 0:16:32The clip shows the shocking moment
0:16:32 > 0:16:36when the driver of the silver Audi estate loses control.
0:16:37 > 0:16:39TYRES SCREECH
0:16:42 > 0:16:44- MAN:- Whoa!
0:16:45 > 0:16:47Then we checked this YouTube video,
0:16:47 > 0:16:49we could obviously see it was our car.
0:16:49 > 0:16:52So we'd got video evidence showing that the collision
0:16:52 > 0:16:54hadn't happened how the client told us.
0:16:54 > 0:16:55It had happened on the race track
0:16:55 > 0:16:58and the way he was driving, for me, it wasn't a surprise
0:16:58 > 0:17:00- that he had a collision. - Whoa!
0:17:02 > 0:17:05In addition, plenty of witnesses had seen the crash.
0:17:05 > 0:17:09Bob Honeysett works on the Castle Combe recovery team.
0:17:09 > 0:17:13The car came round Camp Corner, started drifting out.
0:17:13 > 0:17:15I remember it clearly because I thought he'd held it
0:17:15 > 0:17:17and then the car snapped back,
0:17:17 > 0:17:20and as he snapped back, he went straight into the tyre wall.
0:17:20 > 0:17:22The session was stopped.
0:17:22 > 0:17:25As we were loading the car onto the flatbed truck,
0:17:25 > 0:17:29the driver was out there and he was ripping the number plates off the car.
0:17:29 > 0:17:32And I was asking him, "Why are you doing that?"
0:17:32 > 0:17:36And he said, "Oh, I don't want anybody to know who it belongs to."
0:17:36 > 0:17:38We were quite suspicious then.
0:17:38 > 0:17:40It was quite a spectacular crash.
0:17:42 > 0:17:44Good for YouTube, not very good for us,
0:17:44 > 0:17:46not good for business and not good for him.
0:17:47 > 0:17:50The truth behind the crash had finally come out
0:17:50 > 0:17:52but one thing was still unclear -
0:17:52 > 0:17:55why the driver had lied to Accident Exchange in the first place.
0:17:55 > 0:17:58The answer lay in the terms of his insurance cover,
0:17:58 > 0:18:01which didn't include driving on race tracks.
0:18:01 > 0:18:02He knew he wasn't insured.
0:18:02 > 0:18:06He wouldn't have taken his own car for this race day, so why did he take ours?
0:18:08 > 0:18:11With a wealth of evidence stacked against the driver,
0:18:11 > 0:18:15Accident Exchange decided to act.
0:18:17 > 0:18:18He denied it first of all
0:18:18 > 0:18:20but when we said we'd got a YouTube video,
0:18:20 > 0:18:24he accepted that he had taken it to a race track day,
0:18:24 > 0:18:25he had written it off
0:18:25 > 0:18:28and he subsequently paid us for the damage to the car.
0:18:28 > 0:18:32With no insurance cover, he had to pay the entire amount out of his own pocket,
0:18:32 > 0:18:35a sum of £25,000.
0:18:35 > 0:18:38With some of the cars, people think it's a hire car,
0:18:38 > 0:18:40they don't have to look after it.
0:18:40 > 0:18:43We've got a different view because obviously it's a very nice car
0:18:43 > 0:18:46and we expect clients to look after them
0:18:46 > 0:18:48as they would their own car.
0:18:48 > 0:18:50TYRES SCREECH
0:18:50 > 0:18:52Whoa!
0:18:56 > 0:18:58The Insurance Fraud Bureau, the IFB, is
0:18:58 > 0:19:01a body set up by the insurance industry
0:19:01 > 0:19:03to combat insurance fraud.
0:19:03 > 0:19:06In 2007, they began an investigation
0:19:06 > 0:19:10which ended up revealing one of the biggest motor insurance frauds ever
0:19:10 > 0:19:14in the UK, involving a whopping £6.5 million.
0:19:14 > 0:19:17But it all began with a small-scale investigation
0:19:17 > 0:19:21into similar claims linked to the same accident management company,
0:19:21 > 0:19:23Real Accident Helpline.
0:19:23 > 0:19:25Ben Fletcher is head of the IFB.
0:19:25 > 0:19:29It was run by two people. The director was Naqshbandi
0:19:29 > 0:19:31and the company secretary was Hillaman.
0:19:31 > 0:19:36Accident management companies operate by processing insurance claims on behalf of drivers.
0:19:36 > 0:19:37The majority are genuine
0:19:37 > 0:19:40but an increasing number are used by criminals
0:19:40 > 0:19:42as a front for fraudulent activities.
0:19:42 > 0:19:45The IFB examined the evidence that had been forwarded to them.
0:19:45 > 0:19:47With Real Accident Helpline,
0:19:47 > 0:19:51there were a number of similarities with the claims,
0:19:51 > 0:19:52which caused concern.
0:19:52 > 0:19:57There were some collisions that had been alleged to have happened where they didn't.
0:19:57 > 0:20:00The policies were taken out using identities
0:20:00 > 0:20:02which when we started to do investigation work,
0:20:02 > 0:20:05the people behind those policies didn't exist.
0:20:05 > 0:20:10A lot of the people that were on the books of Real Accident Helpline were ghosts.
0:20:10 > 0:20:13By now it was clear that Real Accident Helpline was linked
0:20:13 > 0:20:14to fraudulent activity.
0:20:14 > 0:20:17The IFB contacted the Metropolitan Police.
0:20:17 > 0:20:19DC Tony Recchia led the case.
0:20:19 > 0:20:21My initial thoughts were
0:20:21 > 0:20:24that this would be quite a quick investigation.
0:20:24 > 0:20:27However, it wasn't long before we realised
0:20:27 > 0:20:30that there was a lot more to this.
0:20:30 > 0:20:32What set alarm bells ringing was
0:20:32 > 0:20:34the sheer number of claims being put through
0:20:34 > 0:20:36and how similar they were.
0:20:36 > 0:20:39Most of their collisions were rear-end shunts
0:20:39 > 0:20:43because they realised that these are very rarely contested by the insurers.
0:20:43 > 0:20:47The investigation moved on to the two men behind Real Accident Helpline.
0:20:47 > 0:20:53We quickly found out that they were using overseas travel.
0:20:53 > 0:20:56We found various photographs and documents
0:20:56 > 0:20:58linking them to exotic cars.
0:20:58 > 0:21:02They were always immaculately dressed, wearing designer clothes.
0:21:02 > 0:21:08So they were living quite a good lifestyle, overtly.
0:21:08 > 0:21:10But living the high life isn't cheap
0:21:10 > 0:21:13and Naqshbandi and Hillaman made the mistake
0:21:13 > 0:21:16of processing so many claims they weren't able to cover their tracks.
0:21:16 > 0:21:20To save time, they started repeating names, details and locations.
0:21:20 > 0:21:25Most of these companies, they get a bit blase and a bit greedy
0:21:25 > 0:21:27and that opens a few more doors.
0:21:27 > 0:21:29One such door revealed a key piece of evidence
0:21:29 > 0:21:33that allowed the police investigation to move to the next level.
0:21:33 > 0:21:38The asset protection unit at credit hire company Accident Exchange
0:21:38 > 0:21:39was yet again on the case.
0:21:39 > 0:21:42They were conducting a separate investigation
0:21:42 > 0:21:45into a credit hire claim also linked to Naqshbandi.
0:21:47 > 0:21:50Our suspicions were that he was going to use our car
0:21:50 > 0:21:52as part of a staged accident.
0:21:52 > 0:21:55A staged accident is an accident that is deliberately caused
0:21:55 > 0:21:58in order to create a fraudulent and inflated insurance claim.
0:21:58 > 0:22:01The company took steps to recover the car
0:22:01 > 0:22:03in what's known as a snatch-back procedure.
0:22:03 > 0:22:05Part of the procedure is that we take the car back
0:22:05 > 0:22:08and bring it back to Accident Exchange headquarters
0:22:08 > 0:22:12and it's searched by my staff under video conditions.
0:22:12 > 0:22:15When we searched the car we found some documentation in it.
0:22:15 > 0:22:17There were things like claim forms,
0:22:17 > 0:22:20there were things like sketches of accidents.
0:22:20 > 0:22:22It was obvious to us that the paperwork related to
0:22:22 > 0:22:25the arrangement or the execution of a staged accident.
0:22:26 > 0:22:31Accident Exchange immediately shared their information with the police,
0:22:31 > 0:22:34who linked it to their existing Real Accident Helpline investigation.
0:22:34 > 0:22:38It was the first solid piece of evidence that we had obtained.
0:22:38 > 0:22:41The rest of it was just claim forms from insurance companies.
0:22:41 > 0:22:43It was a Eureka moment, dare I say,
0:22:43 > 0:22:47because it definitely linked these people
0:22:47 > 0:22:50and opened the door to their corrupt dealings
0:22:50 > 0:22:52with members of the public.
0:22:52 > 0:22:55Tony and his team moved quickly to shut the fraud down
0:22:55 > 0:22:59by obtaining search warrants to raid the homes of Naqshbandi and Hillaman.
0:22:59 > 0:23:03Inside of these home addresses, we found a large amount of cash.
0:23:03 > 0:23:07It was about £60,000 that we found but it was in various bundles.
0:23:07 > 0:23:10People would hide money in their houses
0:23:10 > 0:23:13because they either don't trust the banks, which is very, very rare,
0:23:13 > 0:23:16or it's because it's ill-gotten gains.
0:23:16 > 0:23:20They also raided the offices of Real Accident Helpline
0:23:20 > 0:23:23and found evidence of fraud in the shape of multiple claim forms.
0:23:24 > 0:23:28The police realised that Naqshbandi and Hillaman were processing
0:23:28 > 0:23:30fraudulent claims on an industrial scale.
0:23:30 > 0:23:34Real Accident Helpline dealt with in the region of 250 accidents
0:23:34 > 0:23:35and up to 1,000 people.
0:23:35 > 0:23:37That affected about 20 insurers
0:23:37 > 0:23:41and had those claims been paid, that would have represented
0:23:41 > 0:23:44a financial loss to the industry of about £6.5 million.
0:23:44 > 0:23:46It was one of the biggest motor insurance frauds
0:23:46 > 0:23:48ever uncovered in the UK.
0:23:48 > 0:23:50Ultimately, it was the greed and the arrogance
0:23:50 > 0:23:53of Naqshbandi and Hillaman that was their downfall.
0:23:53 > 0:23:56Despite the overwhelming evidence against them,
0:23:56 > 0:24:00the two men initially pleaded not guilty when the case reached court
0:24:00 > 0:24:02but Hillaman subsequently admitted his guilt.
0:24:02 > 0:24:06Masi Naqshbandi on the other hand maintained his innocence.
0:24:06 > 0:24:10The case went to trial at Croydon Crown Court.
0:24:10 > 0:24:12At the end of a five-week trial
0:24:12 > 0:24:15and due to the sheer weight of evidence against him,
0:24:15 > 0:24:19a jury found him guilty of conspiracy to defraud.
0:24:19 > 0:24:23Masi Naqshbandi was given seven years, three months,
0:24:23 > 0:24:26which I believe is still the longest sentence
0:24:26 > 0:24:29for a crash for cash kind of fraud.
0:24:29 > 0:24:33And Sabaoon Hillaman was given four years, ten months.
0:24:33 > 0:24:38It's ironic that they chose to call their business Real Accident Helpline
0:24:38 > 0:24:40given that the vast majority of the 250 claims
0:24:40 > 0:24:44were for people that didn't exist and accidents that never happened.
0:24:47 > 0:24:52IFED, the City of London Police's Insurance Fraud Enforcement Department,
0:24:52 > 0:24:56has raided an address in connection with a suspected motor insurance fraud case.
0:24:56 > 0:24:59They've tracked down two suspects
0:24:59 > 0:25:03and found potential evidence hidden in a bathroom and a baby's cot.
0:25:03 > 0:25:06But they're still after the third suspect.
0:25:06 > 0:25:09It's vital that he's apprehended quickly,
0:25:09 > 0:25:11in case he gets rid of evidence or covers his tracks.
0:25:11 > 0:25:14We're satisfied with what we've seized at this address
0:25:14 > 0:25:16and we've got the two main suspects.
0:25:16 > 0:25:20There is a third suspect who lives in the same street
0:25:20 > 0:25:22and we do need to speak to him,
0:25:22 > 0:25:24so now we're going to give him a knock
0:25:24 > 0:25:25and see what he's got to say.
0:25:25 > 0:25:28Morning! Open up! It's the police.
0:25:34 > 0:25:37- Hello.- Hello. Good morning, sorry to disturb you, sir.
0:25:37 > 0:25:39I'm from London City police.
0:25:39 > 0:25:43We're looking to try and find whether a male lives here.
0:25:43 > 0:25:45Have you seen this man before?
0:25:45 > 0:25:47- No.- No? OK.
0:25:47 > 0:25:50That address was of interest because the address has been used
0:25:50 > 0:25:52as part of the scam.
0:25:52 > 0:25:56But those people living there, and they've been there over a year,
0:25:56 > 0:25:58they're not part of it.
0:25:58 > 0:26:00So we've had to knock them up early
0:26:00 > 0:26:02but that address does feature in the enquiry
0:26:02 > 0:26:06but they haven't committed an offence, therefore we've taken it no further.
0:26:06 > 0:26:11It turned out that the suspects had previously lived in the second house,
0:26:11 > 0:26:15which is why the suspicious activity had been linked to that address.
0:26:15 > 0:26:19It's vital that IFED arrest the third suspect
0:26:19 > 0:26:20as quickly as possible
0:26:20 > 0:26:23to prevent them destroying evidence or skipping town.
0:26:23 > 0:26:26They hit the road to follow up a lead on a third address.
0:26:26 > 0:26:31This is an address that has come up on a recent bit of intelligence that we've worked on.
0:26:31 > 0:26:34Same surname as the other people we've arrested.
0:26:34 > 0:26:39As soon as the door is opened, the IFED team spot someone they recognise.
0:26:39 > 0:26:41You've just come from the other address.
0:26:41 > 0:26:44A boy from the first house who said he was going to school
0:26:44 > 0:26:45has instead turned up here,
0:26:45 > 0:26:49suggesting that the occupants of both houses are linked.
0:26:49 > 0:26:51Can I come in and I'll talk to you?
0:26:51 > 0:26:53Why were you running out the back door?
0:26:53 > 0:26:56- Ask him why he was running out the back door.- All three of you.
0:26:56 > 0:26:59- No problem. He was... - Well, there is...
0:26:59 > 0:27:02There is a problem because he was running out the back door,
0:27:02 > 0:27:05so don't say there's no problem.
0:27:05 > 0:27:08If there's no problem, people don't run out the back door.
0:27:08 > 0:27:11The inhabitants deny any knowledge of the third suspect.
0:27:11 > 0:27:14They're asked to supply ID,
0:27:14 > 0:27:18which the IFED team cross checks with a printout of the man's details.
0:27:18 > 0:27:20It looks like IFED has its man.
0:27:20 > 0:27:24Just come here a minute. I'll explain what's going to happen.
0:27:24 > 0:27:26I'm from the City Of London Police.
0:27:26 > 0:27:28We're investigating an insurance fraud.
0:27:28 > 0:27:32A fraud, yeah, for motor car insurance, car insurance.
0:27:32 > 0:27:38- Yes.- OK? I'm arresting you on suspicion of fraud by false representation, OK?
0:27:38 > 0:27:43It may harm your defence if you don't mention something which you later rely on in court.
0:27:43 > 0:27:45HANDCUFFS CLICKING
0:27:49 > 0:27:52Overall, it's been a successful operation this morning.
0:27:52 > 0:27:53We found several items of evidence
0:27:53 > 0:27:56that will be crucial to the ongoing investigation.
0:27:56 > 0:27:59We set out to get three people, we've got those in custody
0:27:59 > 0:28:02and they'll be interviewed back at the police station
0:28:02 > 0:28:03and the enquiry goes on.
0:28:03 > 0:28:06Subtitles by Red Bee Media Ltd