Merokean charged with insurance fraud in RVC

Merrick resident Lorraine Pilitz, owner of Autotech Collision in Rockville Centre, was arrested and charged with insurance fraud this week after she allegedly attempted to scam an insurance company out of more than $12,000, Nassau County District Attorney Kathleen Rice said on Sept. 15.

Pilitz, 52, was arrested by District Attorney Office investigators and charged with three counts of insurance fraud in the fourth degree and one count of falsifying business records in the first degree. She faces up to three years in prison if convicted.

Autotech is charged with criminal possession of a forged instrument in the second degree and falsifying business records in the first degree. The business faces a fine of up to $10,000 if convicted.

Rice said that Pilitz was driving a 2007 PT Cruiser that was owned by her body shop in September 2009 when she was rear-ended. Though the accident was reportedly not major, Pilitz submitted a claim to Geico, the company that insures the other driver, allegedly saying that her car was totaled. Geico representatives attempted multiple times to see the car so they could assess the damage, but were unable to for six weeks.

When Geico finally saw the car at Pilitz’s body shop, the car had been dismantled and was in pieces inside the shop, Rice said. Geico agreed to pay the full cost of the damages, and asked Pilitz for proof of the vehicle’s value, a bill of sale that would prove her ownership of the vehicle, and a list of expenses related to the storage and repair of the vehicle.

Rice said that Pilitz provided Geico with a hand-written list of expenses and a fraudulent bill of sale indicating that she paid Autotech $12,491, including $991 in tax, for the vehicle, and a fraudulent MV-50 (a DMV form used to transfer ownership of any vehicle owned or controlled by a dealer).

During the D.A.’s investigation, another forged MV-50 was discovered, this one containing the forged signature of Pilitz’s father, who died seven months prior to the date on the form, according to Rice.

"Lorraine Pilitz knows the system and thought she could play it to her advantage, but she got caught," Rice said. "When people defraud insurance companies, it results in higher costs for the rest of us. By investigating and prosecuting insurance fraud cases, we are doing our part in keeping costs down for honest ratepayers."

Assistant District Attorney Maria Testagrossa of the Auto Crimes Unit is handling the case for the District Attorney’s Office. Pilitz is represented by Steven Christensen, Esq., who could not be reached for comment at press time.

Pilitz pleaded not guilty at her arraignment. The charges are merely accusations, and the defendant is presumed innocent until and unless proven guilty.

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