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NJ Woman Indicted for Using Dead Caregiver’s Info to Secure Long-Term Care Payments and Launder the Proceeds
Middlesex County’s Leoncia Hutchinson indicted after attempting to secure long-term care payments and laundering the proceeds.
Morristown, NJ - A recent announcement from Attorney General Matthew J. Platkin and the Office of the Insurance Fraud Prosecutor reveals that a Middlesex County resident is facing charges stemming from an insurance fraud and money laundering scheme. The crux of the allegations: using falsified documents purportedly from her caregiver—who had already passed away.
The Key Details:
- Who? Leoncia Hutchinson, 72, hailing from Metuchen, New Jersey.
- What? Hutchinson has been indicted on multiple counts, including insurance fraud, theft by deception, financial facilitation/money laundering, and forgery.
- When? Her arraignment is set for November 6, 2023, with the indictment having been returned by a state grand jury on October 3, 2023.
- Where? Hutchinson will face Judge Joseph Paone in state Superior Court in Middlesex County.
- Why? An investigation by the Office of the Insurance Fraud Prosecutor (OIFP) came after a referral from Continental Casualty Company, part of CNA.
The probe uncovered that between October 2018 and April 2019, Hutchinson allegedly submitted misleading statements to CNA. This was done in an effort to falsely claim services provided to her by an independent caregiver—who was no longer alive. Hutchinson is believed to have given CNA doctored timesheets with the deceased caregiver's name to procure long-term care payments for his supposed services.
Further allegations pinpoint that Hutchinson received payments from CNA, then wrote checks in the deceased caregiver's name, deposited the money into an account, and subsequently transferred the money back to an account under her name. This action is believed to have been a calculated move to obfuscate the funds' origin and control.
Attorney General Platkin stated, “The passing of this caregiver was viewed as a moneymaking opportunity. But efforts to capitalize on his death, using fraudulent documentation, failed.”
It’s worth noting that these are accusations at this point. Hutchinson maintains the right to a presumption of innocence until proven otherwise. The charges she faces carry significant penalties, with second-degree charges having the possibility of five to 10 years in New Jersey State Prison and a hefty fine.
The investigation's success, presented by Deputy Attorney General Jana Robinson, highlights the state’s dedication to eradicating insurance fraud. The Office of the Insurance Fraud Prosecutor emphasizes that anyone with knowledge of potential insurance fraud should come forward, offering the potential for rewards for information that leads to convictions.
For anyone in Morris County and across New Jersey, this story underscores the importance of vigilance against insurance fraud and the state's commitment to prosecuting such activities.
