Finksburg Businessman Sentenced for Felony Fraud

BALTIMORE, MD ( July 19, 2010) -Attorney General Douglas F. Gansler announced today that Ghassan Issa, 48, of Finksburg, pled guilty in the Circuit Court for Baltimore County to one count of felony insurance fraud. Judge John G. Turnbull ordered probation before judgment and placed Issa on probation for one year. As a condition of his probation, Issa must perform 30 hours of community service and pay a $20,000 fine.

On July 27, 2006, Issa filed an insurance claim with his insurer, Harford Mutual Insurance Company. Issa claimed that a broken water pipe caused over $74,000 in damage to a Reisterstown restaurant that he was renovating. Issa alleged that the property and restaurant equipment had been damaged. Issa produced several invoices and estimates in support of his claim and Harford Mutual paid out on the full amount of the claim. Further investigation revealed that the estimates and invoices were fraudulently obtained and the damaged equipment had not been in the basement at the time of the flood. Issa subsequently reimbursed Harford Mutual for a portion of the claim.

The conviction follows a joint investigation by the Insurance Fraud Division of the Maryland Insurance Administration, the Maryland State Police and the Office of the Attorney General. In making today’s announcement, Attorney General Gansler thanked Assistant Attorney General Benjamin Harris for his work on the case.