Couple Charged with Bilking $1.9 Million from Seniors

A husband and wife accused of bilking $1.9 million from hundreds of San Diego County senior citizens with a phony insurance scam will face 11 felony counts.

San Diego County District Attorney Bonnie M. Dumanis announced today that Michael Woodward, 50 and his wife Melissa, 47, have been charged with burglary, grand theft, theft from an elder, tax evasion and other charges for their involvement in allegedly selling fake “in-home service agreements” to victims.

If convicted, they face up to 16 years in prison, officials said.

“The defendants in this case were ruthless and heartless in the way they targeted the elderly and sold them fake insurance policies,” Dumanis said in a statement. “I’m proud of the work our Insurance Fraud Unit is to bring justice to these victims and other senior citizens who became victims of elder abuse in the community. We’re also encouraging anyone who bought an in-home service agreement from these defendants to come forward.”

Authorities allege that for nearly 10 years, the couple targeted the elderly at their homes, telling them if they prepaid an annual fee, they could get an unlimited amount of non-medical services including cooking, cleaning, bathing, toileting, dressing, laundry, and shopping.  The pair got 238 victims in the county to pay the fees.

The California Department of Insurance and the District Attorney’s Insurance Fraud Division investigated, along with an assist from the Franchise Fraud Division. The Nevada Attorney General’s Office also helped with the investigation, acquiring the search warrant needed for the Woodward’s home.

“Both defendants ran an unscrupulous plan to bilk innocent seniors,” said Nevada Attorney General Catherine Cortez Masto in  a statement.  “I encourage Nevadans who may be victims of this crime to report it to our office. The successful arrest and charging of these defendants is the result of cooperation among states.  I am thankful we were able to collaborate across state lines in order to prevent this couple from continuing their insurance scheme.”

The Woodwards were the only employees and could not provide the in-home services for which they were charging the seniors.  The defendants would sometimes reimburse for inexpensive services but when more costly claims were submitted, the victims’ phone calls went unanswered, authorities said.

“The extent to which the Woodwards went to rip-off vulnerable seniors and attempt to hide their crime is shocking,” said Insurance Commissioner Dave Jones in a statement.

The Woodward’s also are suspected in similar scams in Washington, Oregon, Minnesota, and Texas.  Across the nation, victims of the couple were tricked out of $6 million, officials said. Michael Woodward often used fake names such as Mike Woods or Mike Smith, authorities said.

The San Diego County District Attorney’s office has an Elder Abuse Protection Unit and handles 210 felony cases annually with a lead prosecutor, to victim advocates, and a full-time investigator.  

 Information on how protect yourself and your loved ones from becoming victims of elder abuse can be found on the District Attorney’s public website at www.SafeSeniorsSanDiego.com

Victims in Nevada with information regarding Michael and Melissa Woodward, or their business are urged to contact the Nevada Attorney General’s Office Insurance Fraud Unit at 1-800-266-8688 and submit a written complaint.  A form can be found on the AG’s website at http://ag.nv.gov/ Insurance_Fraud/.