Four men have been sentenced for their respective roles in stealing and selling customer data from AXA Insurance, and exploiting it for their claims management company.
Shane Jerman, Stuart McGill, Jack Greenwood and Andrew Franks were given a range of sentences, from nine months in prison to 17, suspended for 18 months, as well as fines of £3,000, and 180 hours unpaid work each. All four pleaded guilty at Preston Combined Court Centre.
The City of London Police’s Insurance Fraud Enforcement Department (IFED), which worked closely with AXA during the investigation, discovered that between 15 July 2015 and 30 December 2015, employee Jerman stole customer data and passed it onto ex-employee McGill, who in turn sold it onto Greenwood and Franks for their claims management company.
IFED discovered that Jerman was taking photographs of customer data and sending them onto McGill via Whatsapp. McGill stated that Jerman was sending roughly 100 lines of data to him each week.
Analysis of their bank accounts revealed that McGill was regularly sending between £250 and £650 to Jerman, with the description in the statements as “Shane Jerman Wolf of Manchester”.
Further analysis into McGill’s bank account showed that he was receiving several thousands of pounds from a company called Mid North West.
IFED made enquiries into Mid North West, which was operating as a claims management company, and identified Greenwood as a director and Franks as an employee. McGill also confirmed this in his interview and said he was receiving money from them in return for the data supplied by Jerman.
At one stage during the fraud, Greenwood bragged about the success of their activity, sending a message to McGill suggesting a “Christmas works do is defo on the cards!” for the four of them.
AXA became suspicious that there was fraudulent activity and referred the matter to IFED for investigation. In total, it’s estimated that Jerman and McGill made a total of £18,250 between them.
Detective constable Louise Wager, who the led the investigation for IFED, said: “These four men thought they could make easy money by selling on customer data, but instead they have been sentenced for their involvement, and will now be unable to work in a range of industries due to their criminal records.”
“The Insurance Fraud Enforcement Department takes this type of fraud very seriously. As shown in this case with AXA Insurance, we continue to work effectively with insurers to try and eradicate fraudulent activity within the industry and deter anyone who is thinking of getting involved.”
Mike Bennett, head of investigations and fraud control at AXA UK, said: “We take information security and fraud extremely seriously here at AXA, and will investigate all cases then seek to prosecute for this type of activity. We would like to thank our internal teams who compiled the evidence as well as IFED who investigated the case. We hope this acts as a reminder that when it comes to fraud, the consequences are not worth the risk.”