Charged with theft, theft by deception and conspiracy are 43-year-old Xia Mao Zheng, also known as, “Ah Mao” and “Mao,” and 28-year-old Yuan Fu Li.
Associate Judge Kenneth L. Govendo set the preliminary hearing for June 30. The arraignment will be held on July 7.
The court also set a $50,000 cash bail for each of the two defendants.
In his affidavit, Detective Patrick Earl Maanao said he and Police Officer 11 Flor Estabillo were assigned to investigate an insurance fraud case involving vehicle crashes and false reports on May 17.
Maanao said he received 19 traffic crash reports from the Bureau of Motor Vehicles and discovered many discrepancies in the reports.
Maanao said on May 21, Police Sgt. Hillary Tagabuel waived his rights to counsel and confessed to falsifying the 19 traffic crash reports.
Tagabuel said he received money from Yu Jai Peng Cepeda and Serafin Esperancilla.
The affidavit stated that Esperancilla was an auto estimator at YJC Auto Shop who prepared vehicle crash estimations for YJC and Shun Fa Auto Shop in Koblerville.
Esperancilla said he was dealing with Xin Mao Zheng.
It was learned that Zheng would call Esperancilla to prepare estimations for crashes. If the vehicle operator did not have a driver’s license, Esperancilla would “fix” it by buying the traffic report for $500.
It was also learned that vehicle operators who were supposed to be involved in the accidents were not aware of their involvement — the accidents never happened.
The car operators who were investigated claimed that their cars were brought to the shops for repairs.
Maanao said they investigated one car owner who claimed that his car had never been involved in an accident.
The car owner said he lent his driver’s license to a friend, “Ah Yuan,” for $50. The car owner said Li Yuan Fu took him to the police station to pick up traffic crash reports later.
Another car operator whose car was involved in an “accident” with Li Yuan Fu’s car denied being involved in any accident.
Maanao said on June 10, Tagabuel admitted forging a total of 41 traffic crash reports.
