Spokane man sentenced to 12 years in prison for $6 million insurance fraud scheme

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SPOKANE, Wash. — A Spokane man was sentenced to federal prison Thursday for his role in a multi-million dollar fraud scheme involving false and fabricated insurance claims.

According to court documents and statements made during the hearing, William Mize led a massive insurance fraud operation that intentionally caused car and boat crashes, as well as staged home “accidents,” to file fraudulent insurance claims and collect the proceeds. The scheme, which took place between 2013 and 2018, involved numerous staged collisions in Washington and Nevada and netted more than $6 million, most of which was kept by Mize. The U.S. Attorney’s Office reported that more than $2 million in assets, including houses, cars, boats, and cash, were seized and forfeited from Mize and his co-conspirators, and have since been returned to the victims.

Mize was initially indicted on January 9, 2019, and appeared in federal court. After his initial appearance, he was released pending trial. However, in July 2019, Mize fled from supervision and became a fugitive, using multiple false identities.

On Nov. 28, 2023, the U.S. Marshals apprehended Mize in Jacksonville, Florida, based on a tip that he was attempting to sell a yacht under a false identity. Mize was arrested at a marina in central Florida and transported to Eastern Washington, where he has remained in custody.

“For many years, Mr. Mize recruited, directed, and elaborately staged automobile and boat collisions, as well as other injury accidents, to fraudulently obtain millions of dollars,” U.S. Attorney Vanessa Waldref said. “Not only did this scheme cause serious physical harm to his co-conspirators, including his wife and children, but it also placed the community in significant danger. Furthermore, Mr. Mize defrauded the public out of more than $400,000 by cheating on his taxes. When indicted by prosecutors in my office, Mr. Mize fled to avoid accountability for his crimes.” Waldref added, “I am grateful for the dedication of the U.S. Marshals, who located and returned Mr. Mize to the Eastern District, and for the prosecutors and investigators who worked tirelessly over the years to achieve justice in this case.”

Mize was sentenced to 144 months in federal prison, followed by three years of supervised release. He was also ordered to pay $6,657,209 in restitution to insurance companies and $436,399 in restitution to the IRS.


 

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