Woman Convicted in Insurance Scam with Ex-Husband

November 4, 1999

Attorney General J. Joseph Curran, Jr. announced that on Wednesday, October 27, 1999, Elizabeth Collins Graves, 49, of 1 Elwell Ct, Randallstown, an employee of Blue Cross Blue Shield, pleaded guilty to Conspiracy to steal $27,195.47 by falsely representing herself as married in order to obtain cheaper health insurance

Graves, who divorced her first husband in January, 1995, conspired with him to continue her coverage under his medical insurance policy as his wife even though they were no longer married. He, too, was continued on her vision/dental policy as her husband, even after they were divorced. This subterfuge resulted in their premiums being substantially lower than they would have been if insured correctly. In fact, neither of them could have been insured under the other's coverage.

Blue Cross discovered the deception in August, 1996 and immediately terminated the coverage. Up to that point, however, the defendant and her ex-husband had filed over $27,000 in medical claims which were improperly paid out. Mr. Collins was convicted earlier in the same court for his involvement in the conspiracy. He was sentenced to probation and restitution.

Judge John Grason Turnbull, II sentenced Graves to 5 years in prison, but suspended the sentence and placed her on 5 years probation. Judge Turnball also ordered Graves to repay the $27,195 to Blue Cross.

For Further Information Contact:
Frank Mann
Special Assistant to the Attorney General
(410) 576-6357