Albany, NY (WRGB) — A Poughkeepsie man who previously went to federal prison for an insurance fraud scheme is now facing new federal charges after investigators say he ran a similar operation again, this time reportedly taking in more than $400,000.
69-year-old Michael McMahon of Poughkeepsie, was arrested at his home Thursday, May 7, on three counts of mail fraud, according to an announcement from First Assistant United States Attorney John A. Sarcone III and U.S. Postal Inspection Service New York Division Inspector in Charge Ketty Larco-Ward.
New York State launches new insurance fraud crackdown
An indictment unsealed at the time of his arrest says that between December 2020 and December 2025, McMahon carried out a scheme to defraud trucking and insurance companies by submitting fake accident claims. Prosecutors say McMahon would park a vehicle by the side of the road and wait for a tractor-trailer to drive past, then submit a claim to the trucking company or its insurer, typically under a false name, along with a fake invoice from a fictitious auto repair shop. Authorities say he received over $400,000 through the scheme.
McMahon’s new case follows a prior federal conviction for what prosecutors described as a virtually identical fraud. In 2012, he was sentenced to 51 months in prison for a scheme carried out between 2006 and 2011 that obtained over $80,000. The new indictment says the latest scheme began after he completed his period of supervised release following...
Albany, NY (WRGB) — A Poughkeepsie man who previously went to federal prison for an insurance fraud scheme is now facing new federal charges after investigators say he ran a similar operation agai...