Six Women Involved in Insurance Fraud Scheme to Return Close To $1.5 Million

Six women involved in a scheme to defraud AFLAC Insurance Company have been ordered to return almost $1.5 million by the 34th Judicial Court, according to the Michigan Department of Insurance and Financial Services (DIFS).

Officials say the investigation began last year and was led by DIFS Fraud Investigation Unit and the Ogemaw County Sheriff’s Office.

“Fraudulent insurance claims drive up the cost of insurance for everyone, and thanks to the hard work of DIFS’ Fraud Investigation Unit and the Ogemaw County Sheriff’s Office, these criminals have been ordered by the court to return the funds obtained through their fraudulent scheme,” said DIFS Director Anita Fox. “I urge everyone to report suspected insurance fraud online at Michigan.gov/ReportFraud2DIFS or by calling 877-999-6442.”

In Oct. 2021, DIFS and the Ogemaw County Sheriff’s Office announced insurance fraud and identity theft charges against fourteen individuals for allegedly submitting almost $3 million in false insurance claims.

Officials say the charges are related to an alleged scheme to defraud AFLAC in which the individuals submitted false claims of injury, indicating that they had received treatment at the Ogemaw Chiropractic Clinic.

To date, the following individuals have been sentenced:

  • Carol Christine Smith of Rose City: 6-months’ probation, and fines and restitution of $203,545
  • Amanda Nichole Hebert of Rose City: 6-months’ probation, and fines and restitution of $213,515
  • Samantha Marie Petty of West Branch: 1 day jail, 1-year probation, and fines and restitution of $363,900
  • Melissa Marie Spencer of West Branch: 1-year probation, and fines and restitution of $571,496
  • Ashley Marie Ehinger of West Branch: 6-months’ probation, and fines and restitution of $28,483
  • Patricia Ann Hebert of Rose City: 6-months’ probation, and fines and restitution of $84,075

Officials say criminal cases involving the remaining defendants in the investigation are on-going.