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10 Indicted In NYC For Allegedly Staging, Lying About Car Wrecks

NEW YORK (CBSNewYork) -- Ten people have been indicted on charges of trying to fraudulently collect insurance money by staging car crashes or falsely claiming to have been involved in wrecks, city and state authorities announced Wednesday.

In three incidents, someone purposely drove rented U-Haul trucks into livery cabs, sometimes carrying passengers who were in on the scheme, authorities said.

In three other cases, which officials called "jump-ins," defendants allegedly lied when claiming to have been inside cars involved in crashes -- including two parked cars.

Those charged are accused of trying to profit from New York's no-fault insurance law.

"Vehicular collisions already affect too many lives, causing tremendous trauma and loss," District Attorney Cy Vance said in a news release. "In this case, the defendants allegedly took advantage of a system intended to support those who are truly suffering from the impact of devastating crashes by staging accidents and manufacturing fraudulent injury claims in order to receive insurance payouts."

The defendants were charged in multiple indictments in New York State Supreme Court with insurance fraud and falsifying business records. The six alleged incidents occurred from August 2010 to June 2014 and amounted to $137,000 in fraudulent medical claims, authorities said.

"Some people see car insurance fraud as an opportunity to turn a profit, but this criminal practice forces other drivers to pay higher insurance premiums," NYPD Commissioner Bill Bratton said.

Authorities said their investigation into such fraudulent claims is ongoing.

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