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For Immediate Release:  
For Further Information Contact:
June 13, 2005

Office of The Attorney General
- Peter C. Harvey, Attorney General
Division of Criminal Justice
- Vaughn L. McKoy, Director
Office of the Insurance Fraud Prosecutor
- Greta Gooden Brown, Insurance Fraud Prosecutor


Rachel Sacharow


Hunterdon County Woman Sentenced for Submitting More than $13,900 in Fraudulent Health Insurance Claims

TRENTON - Division of Criminal Justice Director Vaughn L. McKoy announced that a Hunterdon County woman was ordered to pay more than $18,900 in fines and restitution after pleading guilty to Health Care Claims Fraud and forgery for submitting more than 40 fraudulent health insurance claims worth more than $13,900.

According to Director McKoy and Insurance Fraud Prosecutor Greta Gooden-Brown, Carol Severe, 65, Hamden Road, Annandale, Hunterdon County, was ordered by Hunterdon Superior Court Judge Roger Mahon to serve one year probation. Prior to sentencing, Severe had paid $13,947 in restitution and a $5,000 civil insurance fine. On Feb. 8, Severe pleaded guilty before Hunterdon County Superior Court Judge Robert Reed to a criminal Accusation filed by the Division of Criminal Justice - Office of Insurance Fraud Prosecutor. The Accusation charged Severe with Health Care Claims Fraud and uttering a forged document.

At the guilty plea hearing, Severe admitted that between Jan. 5, 2000 and May 4, 2004, she collected more than $13,947 from Horizon Blue Cross/Blue Shield as the result of submitting false health insurance claims. Severe admitted that she submitted more than 40 claims, stating that a psychologist has provided services to her on 192 dates. An investigation by the Division of Criminal Justice - Office of Insurance Fraud Prosecutor determined that these services had not been provided and that Severe had signed the psychologist’s name to the claims form.

State Investigator Laura Parisi, Civil Investigator Lauren E. Rule, and Deputy Attorney General Tanya Y. Justice were assigned to the investigation. DAG Justice represented the Division of Criminal Justice - Office of Insurance Fraud Prosecutor at the sentencing. The case was referred to the Division of Criminal Justice - Office of Insurance Fraud Prosecutor by Horizon Blue Cross/Blue Shield.


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