Plus, Florida’s $1 billion scam problem
The Tampa Life Plan Village Board President is arrested for fraud, a South Florida insurance broker pleads guilty in a $134 million scheme, and internet scammers hit the $1 billion mark against Floridians – we’ll share the best ways to protect your money. It’s all in this week’s Fraud News.
Ronald Schuck mugshot. Courtesy, Pinellas County Jail
Tampa Life Continuing Probe: As we reported last week, state insurance regulators found Tampa Life Plan Village mishandled residential services for the seniors under their care leading to “painful displacement and relocation.” Now its Board President, Ronald Richard Schuck has been arrested by the Florida Department of Financial Services on charges of Continuing Care Contract Fraud, a third-degree felony. Schuck was part of a team that acquired the Continuing Care Retirement Community in 2020 to help it out of bankruptcy but is accused of misappropriating funds and mismanaging essential residential services leading to another bankruptcy and the displacement last year of its 109 residents. He could face up to five years in prison if convicted. Any residents or families affected by the mismanagement are encouraged to come forward and share their experiences on the state’s Insurance Consumer Helpline (1-877-693-5236).
Dafud Iza
$134 Million Obamacare Scheme: Down in Pembroke Pines late last month, insurance broker Dafud Iza plead guilty to $134 million in fraudulent Affordable Care Act (ACA) health insurance plan enrollments. According to the U.S. Department of Justice, he and his accomplices offered bribes to vulnerable, low-income individuals experiencing homelessness, unemployment or mental health and abuse disorders, knowing their income did not meet the minimum requirements for ACA subsidies. He then falsified their finances to receive the federal premium tax credits. Iza once held licenses for a multitude of positions, including a property and casualty producer’s license, a temporary life insurance broker’s license, and a health insurance license, all of which had become invalid by the time this scheme was hatched, say investigators. He also held several executive positions in insurance companies across South Florida before turning to fraudulent activity. Iza could spend up to 10 years in federal prison plus restitution for his crimes.
Florida’s $1 billion in internet scams: According to the 2024 annual Internet Crime Report from the FBI, Floridians lost over $1 billion to online scams last year, with seniors being the most targeted demographic. The Sunshine State falls just behind California ($2.5 billion) and Texas ($1.35 billion) on the list, and these numbers are only growing, with the Internet Crime Complaint Center (IC3) reporting a 33% increase in internet crime nationwide from 2023 – a trend Florida sadly follows, with its online theft moving up several hundred million from 2023’s $874.74 million. Investment and cryptocurrency scams topped the list, where scammers reach out with great offers and big rewards, either imitating celebrities or creating fake businesses or personas on dating sites. Fake tech support companies and personal data breaches also caused major problems for Floridians last year. Generally, advice from cybersecurity companies and IC3 boils down to a few things:
- Never open or respond to unsolicited emails or requests.
- Carefully examine all website URLs, emails, and information when conducting any online transactions.
- Remain vigilant.
Experts warn that if you don’t know the person or company contacting you, odds are it isn’t worth taking the chance.
LMA Newsletter of 5-5-25
