Insurance Fraudster Not Dead, Arrested in Canada

Back in May, an Eden Prairie man pleaded guilty to an $11.5 million insurance scam. At some point afterwards, he allegedly faked his own death; fake being the key word here, since the man has now been arrested in Canada.

According to the Business Journal, Travis Magdalena Scott, 34, was arrested in Winnipeg on December 22^nd after he was accused by a pharmacy employee of trying to use a forged prescription.

The Winnipeg Free Press noted that a search by Canadian authorities of Scott’s downtown apartment revealed tools for the forging of prescriptions –which include computers, a thermal printer, and an inkjet printer, $35,000 in Canadian and U.S. currency, $85,000 in gold coins, $756 in silver coins, bear spray and assorted medications that he got from the forged prescriptions.

Scott was awaiting sentencing after pleading guilty in federal court to defrauding Zurich North America by submitting false insurance claims for his business, Security Management Technologies.

It was reported that Scott said lightning had damaged supercomputers at his business back in June of 2008, after which he kept about $9.5 million that came from the insurance company and was meant for equipment replacement. According to the charges, he also kept nearly $2 million for business interruption coverage.

Before being found in Canada, Scott left an empty kayak on Lake Mille Lacs in Minnesota along with a note stating that he was going to tie weights to himself and drown.

Police state that he arrived in Manitoba in September in a small plane that he landed at St. Andrew’s airport.

Police said Scott, who also goes by the names Olson and Paul Ian Decker, faces several forgery and weapons charges. The U.S. Marshals have already initiated extradition proceedings.