Attorney General Ford Announces Sentencing of Ringleader in Insurance Fraud Scheme

Dec. 16, 2021

Las Vegas, NV Today, Nevada Attorney General Aaron D. Ford announced that Na Var Derick Lee, 37, of Pasadena, California, was found guilty of seven counts of insurance fraud, all category D felonies. On Dec. 15, the Eighth Judicial District Court sentenced Lee to a suspended sentence of 28-72 months in the Nevada Department of Corrections, placed him on probation and ordered him to pay restitution and costs.   

“I’m proud of the team that brought Mr. Lee to justice,” said AG Ford. “My office will not tolerate bad actors who attempt to defraud the system for personal gain. I’d like to thank the National Insurance Crime Bureau and the insurance companies who helped with this investigation.”

Lee met women through the online dating service Plenty of Fish and convinced them to call in a false claim to their automobile insurance carriers. All of the false claims involved similar stories of the insured women hitting Lee with their automobiles. Lee told the women exactly what to say, called in the false claims as himself or as another person and submitted health care records for treatment in support of the false claims. Lee utilized the scheme as a source of income and, ultimately, wrongfully obtained over $50,000. 

This case was investigated by multiple insurance companies, the National Insurance Crime Bureau, and the Nevada Attorney General Office’s Insurance Fraud Control Unit (IFCU). The IFCU prosecuted this case

The Second Amended Information against Lee is attached. To file a complaint concerning an individual or business suspected of committing fraud, click here.