Insurance Fraud NEWS
Body shop accused of damaging vehicles in Massachusetts
April 01, 2019, Boston, MA
Instead of repairing cars, the owner of two auto body repair shops is accused of intentionally causing damage to vehicles in order to get higher insurance payments.
Adam Haddad, 42, of Shrewsbury, owns ADH Collision of Boston Inc. in Everett and Accurate Collision Inc. in Worcester. Haddad and both of his businesses face charges in connection with the case announced Tuesday by Attorney General Maura Healey.
Haddad stole $170,000 from 11 auto insurance companies through the complex scheme, Healey said.
The allegations are the result of an investigation that began in 2017, after a referral from the Insurance Fraud Bureau. Healey said the investigation found Haddad's criminal behavior spanned four years.
"Haddad regularly enhanced damage, and caused new damage, to customer’s vehicles in order to falsely inflate appraisal repair quotes for labor, paint and parts reimbursement requests," Healey said. "Haddad would then make an additional profit by pocketing the insurance company’s check and not completing the necessary repairs on the customers’ cars."
Additionally, Healey said surveillance footage from one of the businesses shows Haddad using mallets, sledge hammers and pieces of wood to intentionally cause damage to five customers' vehicles.
Haddad and his businesses face 18 counts of motor vehicle insurance fraud and 15 counts of larceny of over $1,200 by false pretenses. Haddad also faces six counts of malicious destruction of property and three counts of attempted larceny.
Healey said the investigation is ongoing and anyone who believes they may have been a victim in this case is asked to contact the Attorney General’s Office Insurance Fraud Tip Line at 617-573-5330