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Hail Storm Insurance Fraud – “Dime Spinning”

A contractor was arrested on 14 felony charges following a long investigation stemming from insurance repairs following a 2006 hailstorm that did millions of dollars of damage to Indianapolis-area homes. Indianapolis Metro police said Joseph M. Radcliff, 33, owner of CPM Construction at 1275 D Racquet Club N. Dr. in Indianapolis, or his employees intentionally damaged the roofs of homes insured by State Farm in an attempt to get large settlements from the insurer. Radcliff faces numerous counts of corrupt business influence, insurance fraud, criminal mischief and fraud. Officials said the fraudulent activities cost State Farm $1.75 million. He was arrested as he prepared to go into an arbitration hearing on a State Farm insurance claim. "As the nation's largest property and casualty insurance company, State Farm is committed to helping law enforcement in developing and implementing programs that help curb crimes like fraud because it impacts our business and our customers." But it was the testimony of two former CPM employees that made the case. They told a State Farms Claims representative that at CPM "the only way to make money is to create your own damage." The workers said they called the process "prepping the roof." Investigators say in order for the hail damage to look authentic, there's usually damage to the sidings and gutters. That's where the golf ball and sock trick come in. "And then they're going to take it and make a striking against the object. Again, not ...