Fraudsters Now Impersonating Big Name Stores to Trick Shoppers, Online Retailers

Mark Mandell, Esq.

For everyone that read our last post on avoiding the holiday shopping scams and protecting your financial information, I strongly encourage you to read this Detroit Free Press article on the most recent trend for fraudsters: impersonating big name stores like WalMart, Target, Home Depot, and others.

Here is a link to the article: http://www.freep.com/story/money/personal-finance/susan-tompor/2014/12/18/email-holiday-scams-target-irs-susan-tompor/20554361/

If your credit card was compromised during the recent data breaches at those big name retailers, your credit card number has probably changed by now. However, such cyber-attacks have left consumers emails, and potentially phone numbers, susceptible to hackers.

And those emails and phone numbers probably have not changed since the data breaches. (You don’t have to change your email, but changing your password every once and a while can help avoid hacks).

These hackers may already know where you shop, and if you shop online with a work email, they probably can figure out where you work, too. This information allows the scams to sound more legitimate – the Better Business Bureau has even received reports of fraudulent emails sent by scammers impersonating big names like WalMart Target, Home Depot, Costco, and Amazon.

One recent example from last month was the “pizza scam,” in which hackers sent an email under the guise of Pizza Hut asking consumers to take a survey. However, when the “survey” link was clicked, malware was downloaded that wreaks havoc on unsuspecting customers’ computers.

Businesses should be especially careful. If one employee opens up a malicious email or link in a scam email, the whole computer network can be infiltrated with a virus.

One helpful tip to avoid getting bit by one of these viruses is to ignore the “pay now” and/or “you need to act now” emails. If you have purchased something online from a big name like WalMart or Target, they would not be demanding immediate payment via email – especially when you probably already paid at the online checkout.

In the case of receiving “order update” or “shipping update” emails, if you suspect it could be a scam, call the customer service line first – do not open the email. Talk to a real person, find out where your package is and when it will arrive. If it arrives safely, go and delete the potentially fraudulent email without ever opening it.

In today’s world, cyber-attacks are a rather common occurrence. Sometimes the best way to shield yourself is to do nothing at all, i.e. don’t open the emails or click on the links. But especially in the holiday frenzy of buying gifts, and then returning or exchanging them afterwards, the best advice is to slow down, don’t hurriedly click on anything suspicious, and verify that the emails you are receiving are truly legitimate.

That may entail – and this can be rare these days – actually picking up the phone and speaking with the good ole’ customer service reps.

If you feel that you have been a victim of fraud or you have questions, you can contact Attorney Mark Mandell. Or, have you been convicted of retail or return fraud? Arrested for drunk driving after a holiday party? Give Mark Mandell a call and you will get an attorney who knows how to aggressively protect your rights. Call today at (248) 380-0000.

‘Tis the Season of Fraud and Scams

Mark Mandell, Esq.

As families hurriedly finish up their holiday shopping, shoppers should beware of holiday hoaxes and scams – both online and at brick-and-mortar stores.

Shoppers who are not of the “digital native” generation are especially susceptible to online scams as they search for holiday gifts. Internet fraud is now the sixth most prevalent scam against seniors, according to the National Council on Aging (NCOA) and results in millions of dollars lost each year.

I would like to provide some helpful hints for protecting yourself against such fraud, beyond avoiding the “Nigerian Prince” emails.

Perhaps the most important point to note is that, when checking out a purchase online, ensure that the web address begins with “https” – the “s” stands for “secure,” which means it is safer to provide your credit card information. Conversely, “http” – without the “s” – is less secure for making online purchases.

Many reputable retailers will even open a window to a separate secure check-out page.

If you are purchasing items from an online marketplace like Craiglist or eBay, the best practice is to only deal with sellers who provide a phone number. Do not rely solely on email, which could open you up to viruses or fraudulent requests for money.

Other common-sense steps you can take include:

• Do not open emails from senders you do not recognize. If you receive such emails delete them immediately; if you open them on accident, delete them without clicking on any links.
• Be mindful of email lists and/or reward programs that you have signed-up for. If you receive a “holiday greeting card” email from a sender whose list you have not signed up for, then delete those emails.
• Do your homework on charities that solicit donations. Charitable donation drives are often at their peak during the holidays and present a unique opportunity for scammers to prey on people’s disposition toward giving during the holidays.
• Watch out for phony websites. When searching for gifts online, read the website description before clicking on it. Scammers can buy websites with similar sounding names to reputable retailers to try and trick shoppers. (e.g. macys.com is the reputable site for Macy’s. But, macysstore.com could be a scammer website.)

Outside the online world, shoppers should also be mindful of the security of their financial information and data. In the heat of holiday shopping, it is tempting to constantly use your debit card. However, as many reports have shown recently, your information could get hacked.

Using a credit card, which is not linked to your bank account, is a better alternative. It is much easier to simply cancel a hacked credit card than to try and recover additional lost funds from your checking or savings account that is linked to your debit card. Keep in mind, too, that paying in cash, when possible, is the best method of keeping your financial information safe – and to tame your buying habits amid all the deals.

Here’s to wishing everyone a safe and happy fraud-free holiday season!

If you feel that you have been a victim of fraud or you have questions, you can contact Attorney Mark Mandell. Or, have you been convicted of retail or return fraud? Arrested for drunk driving after a holiday party? Give Mark Mandell a call and you will get an attorney who knows how to aggressively protect your rights. Call today at (248) 380-0000.

Michigan SOS Plans to Use Better Technology in Effort to Stamp Out Fraud

Mark Mandell, Esq.

Michigan’s Secretary of State Ruth Johnson recently announced new plans to combat scammers who take advantage of vulnerable citizens by selling fake insurance. Johnson is looking to utilize cutting-edge technology and expand best practices in a move that is a part of ongoing efforts to stamp out auto insurance fraud.
The details of the plan include:

• A comprehensive review of her department's processes, technology and structure to determine how best to detect and deter fraud.
• Data analysis to identify signs in transactions that may indicate fraud.
• Expanding the verification of the thousands of insurance certificates the department receives from customers daily.
• An upgrade in case management software to give department investigators the best tools for tracking down fraudulent activity.
• A roundtable discussion with business leaders about fraud to seek their advice and ensure the department is following best practices.

The Secretary of State’s office is looking to use data analysis to compare elements of transactions with those of previous fraudulent ones. Similarities between one transaction and past fraudulent transactions can flagged and then alert the office that a fraud investigation may be needed.

The department has received funding to add staff to a new unit that will verify the validity of the 10,000 to 20,000 insurance certificates that come in through the mail each day from customers renewing their vehicle registration, in addition to the reviews already being done in Secretary of State offices. Plans are also in place to upgrade its case management software so department investigators are best equipped for tracking down fraud.

Some of these new initiatives are the result of recent recommendations from a task force aimed at the fight against auto insurance fraud. To read more on this task force, check out my past post on the Secretary of State’s efforts: http://michiganfraudlawyer.blogspot.com/2014/10/mi-secretary-of-state-looking-to-crack.html

It is refreshing to see follow-through from the Secretary of State on this issue, which affects so many Michiganders. Recent data shows that a whopping 16% of documents filed by motorists from 2013-2014 were fake. The outreach to the business community is also a critical point in the effort to keep the department at the forefront of protecting Michigan consumers from fraud.

If you feel like you are a victim of insurance fraud, contact experienced Attorney Mark Mandell with Fausone Bohn, LLP, at (248) 380-0000. Mark has over a decade of experience fighting for his clients’ rights.

Police Patrols will be Watching for Drunk Drivers on Thanksgiving Holiday

Mark Mandell, Esq.

As another holiday approaches with Thanksgiving, police officers across the state will be keeping a closer eye out for drunk drivers, especially on Michigan’s highways. Between football and the copious amount of food eaten on Thanksgiving, there are also copious amounts of alcohol consumed on this holiday in particular.

As you always hear about tragic accidents happening around this time of year, the message of not drinking and driving is worth repeating. Throw in the worsening road conditions as winter approaches, and alcohol and driving can be a particularly deadly combination.

Not only is drunk driving extremely dangerous, but there are hefty consequences associated with drunk driving. A person is considered “over the limit” if they are operating a vehicle with a BAC of .08 or greater. There are enhanced penalties for “Super Drunk Driving” if an individual’s BAC is 0.17 or higher.

The severity of the penalties depends on what number offense it is and the level of intoxication. The penalties include the following:

• If BAC is below .17 and it is a first offense the penalties includes up to a $500 fine and Up to 93 days in jail; 
• If BAC is above .17 and it is a first offense the penalties includes up to a $700 fine and 180 days in jail;
• If it is a second offense within 7 years the penalties include one or more of the following: a $200 to $1000 fine and/or 5 days to 1 year in jail;
• If it is a third offense within a lifetime the offense is considered a felony and the penalties include one or more of the following: a $500 to $5000 fine, 1 to 5 years imprisonment and/or probation with 30 days to 1 year in jail;
• Additionally, convicted drunk drivers are subject to a $1,000 penalty for two consecutive years under the Driver Responsibility Act, for a total of $2,000 in additional costs.

There are a number of safer alternatives to drunk driving. Safer alternatives include: designating a sober driver; calling a friend; taking a cab; walking or staying over the night at a family or friend’s home.

If you are facing drunk driving charges, or have questions regarding the law, contact experienced criminal defense attorney Mark Mandell at 888-674-1189 or online at www.MichiganFraudLawyer.com.

Veteran Charities – Not All Exist to Benefit Veterans

Matt Worley, Esq.

There are around 1.6 million non-profit organizations in this country.  Of those, upwards of 65,000 include the word “veterans” in their title.  With so many seeking donations, it is more important than ever to be confident that when you give to a veteran charity your donation will actually be used to help our veterans.

Many people assume that if an organization has been granted 501(c)(3) status by the IRS, it went through a stringent application and review process and must therefore be legitimate.  However, the truth is that there is minimal oversight of the process of creating a non-profit organization.  In fact, the IRS recently simplified the application for 501(c)(3) tax exemption from 12 pages (plus schedules) down to only 3 pages.

With almost no ongoing oversight, many of these groups use only a very small portion of donation money to fund products and services for veterans.  Worse still, there are fraudulent organizations that are used only to line the pockets of their creators.

For example, the United States Navy Veterans Association (USNVA) was a registered 501(c)(3) charity.  It had many markings of a legitimate non-profit – a quality website, supposedly in operation since 1927 and dozens of purported chapters across the country with thousands of members nationwide.  In reality, USNVA was run by one man out of his duplex in Florida.  This sham charity bilked donors out of nearly $100 million over a seven-year period.  The ringleader was arrested in 2012 and sentenced to 28 years in prison and $6 million in fines, but sadly most of these donations will never be recovered.

Fortunately, there are resources available to assist potential donors in verifying the legitimacy of a charity before donating.  First off, the charity’s website can provide a first step – most legitimate charities post their financial statements and annual reports on their website so that the public may view them.  Additionally, www.guidestar.org is a non-profit that provides detailed information about 501(c)(3) registered charities.  Further, legitimate charities should be completely transparent.  If an organization is not forthcoming about providing financial/audit statements, copies of their conflict of interest policy, or information about the board of directors and employees, there is cause for concern.

If you have questions about the authenticity of a veteran charity, or believe that you have been taken advantage of by a fraudulent charity, contact the experienced attorneys at Fausone Bohn, LLP.  We can provide you the sound legal advice that you need.  You can reach us at (248) 380-0000 or online at www.fb-firm.com.

MI Secretary of State Looking to Crack Down on Insurance Fraud

Mark Mandell, Esq.

Michigan Secretary of State (SOS), Ruth Johnson, convened a 56 member task force dedicated to addressing insurance fraud in the state. The task force and the SOS recently announced their 17 recommendations.

The recommendations come amid the announcement that the SOS uncovered that a whopping 16% of the documents filed by motorists from 2013-2014 were fake. And you need proof of insurance to receive a license plate in Michigan.

With 16% of documents being fake, one has to ask how that number got so high.

Pete Kuhnmuench, executive director of the Insurance Institute of Michigan, said he believes the high cost of insurance is driving the search for phony insurance coverage. He recommended a $3 fee to ramp up enforcement efforts against fraud. The SOS task force, however, did not address that.  

Secretary of State Johnson claims the problem is costing Michigan motorists around $220 million per year – which she says is a conservative figure. That's because if a driver with fake insurance coverage gets in an accident, the other drive must pick up the tab for those with no coverage.

Johnson said all sort of crooks are in the insurance fraud game, including a lady working out of a church netting some $30,000 a month to the sophisticated Internet fraud artists who produce documents that look real but are not.

The state police, local prosecutors and the state insurance director are all in on fighting back and the SOS has reported that some reforms have already cut the bogus percentage in half.

The task force’s recommendations also include: streamlining prosecution of offenders, assisting law enforcement in verifying insurance during traffic stops, cracking down on unlicensed insurance agents, and establishing a new “fraud commission.”

If you feel like you are a victim of insurance fraud, contact experienced Attorney Mark Mandell with Fausone Bohn, LLP, at (248) 380-0000. Mark has over a decade of experience fighting for his clients’ rights. 

The End is in Sight for Michigan Driver Responsibility Fees

Matt Worley, Esq.

In Michigan, many drivers feel the weight of Driver Responsibility Fees on their shoulders.

These fees are assessed by the State of Michigan to drivers who are found guilty of certain traffic misdemeanors.  These fees are assessed in addition to any fines and costs that were assessed in the district court.  The responsibility fees were created in 2003 at a time when the state was in dire financial straits as a way to generate cash flow.

Part of what makes the responsibility fees unique is the sheer size of the fee assessed.  For example, if a person pleads guilty or is found guilty of driving on a suspended license, that person is assessed $1,000 in responsibility fees – paid out over two years.  Similarly, if a person is convicted of operating while intoxicated, they are assessed a total fee of $2,000.  Other common offenses that have responsibility fees include reckless driving, leaving the scene of an accident, and various drunk/drugged driving offenses.

The problem with these responsibility fees is that they are so large they often send the state’s poorest people in a downward financial spiral that, for many, is nearly impossible to escape from.  The responsibility fees have been called a “tax on the poorest people in the state.”

House Bill 5414, introduced by Representative Joe Haveman, aims to phase out the responsibility fees.  Under the plan, the fees will be virtually eliminated by 2018.  The bill has passed the House and Senate and is expected to be signed by Gov. Rick Snyder in the near future.

The question remains, however, what will replace the nearly $100 million in annual revenue generated from the responsibility fees?

If you would like to know more about Michigan’s driver responsibility fees, or have other questions, contact the legal experts at Fausone Bohn, LLP.  Our team of lawyers consists of current and former prosecutors knowledgeable in both civil and criminal law.  You can reach Matthew Worley at (248) 380-0000 or online at www.fb-firm.com.  

Adapting to an Online World and Avoiding Internet Fraud: Helpful Tips for Seniors

Mark Mandell, Esq.

As more seniors adapt to an online world and increase their web use, they can become victims of Internet Fraud if they are not careful. Because of their late-adoption to the Internet, seniors can be easier targets for Internet and email scams.

The National Council on Aging (NCOA) recently listed Internet Fraud as the sixth most targeted scam towards seniors. Perhaps the most common examples of these online schemes are email scams, whether it’s enticing seniors into an investment or a seemingly reputable organization asking them to “update” their personal information.

The NCOA lists health care, counterfeit prescription drug, and fake anti-aging products in their top five frauds targeted to seniors. In reality, all these scams are increasingly going online.

Fraudulent anti-aging products and prescription drug offerings frequently pop up in email inboxes. In Arizona, a fake Botox scheme ripped off seniors for $1.5 million – the perpetrators were convicted and jailed. Since 2000, the FDA has also investigated an average of 20 counterfeit prescription drug cases per year, up from five per year in the 1990s. There’s no doubt the Internet has provided an easier avenue for scam artists.

While Internet skills are highly valuable today, what steps can the older generation take to avoid these often financially crippling schemes?

If you have a suspicious email sitting in your inbox or are uncertain about an online purchase, the first thing to do is exercise caution, and check with friends and family. Don’t open unsolicited emails without consideration, and don’t be drawn in by flashy websites. Do your homework first. And here are some other helpful steps you can take:

• Be cautious when dealing with a seller outside of the United States.
• There should not be any reason to give out your social security number or driver’s license number over email or through an online auction.
• Check with friends and family to make sure the website or seller is reputable.
• Don’t judge a company solely based on its website: scam artists can construct flashy web pages in a very short amount of time.
• Be cautious if you are receiving an unsolicited email. Do you remember signing up for an email list with this person or company? If not, the best option may be to simply delete the email.
•  Avoid wire-transfers. When purchasing online, a credit card is the best option. Then, you can dispute the charges if something goes wrong.
• If you are dealing with a business, you can check the Better Business Bureau.

If you feel that you have been a victim of fraud or you have questions, you can contact Attorney Mark Mandell. Mr. Mandell has experience you can trust when it comes to defending your rights in cases where you have been scammed. Call today at (248) 380-0000.

You can read the NCOA’s full list of scams targeted towards seniors here: http://www.ncoa.org/enhance-economic-security/economic-security-Initiative/savvy-saving-seniors/top-10-scams-targeting.html

And for more information on cyber security, you can check-out the FBI’s website for helpful tips: http://www.fbi.gov/scams-safety/fraud/internet_fraud

Staying Above Water: What You Need To Know About Drinking While Boating

Mark Mandell, Esq.

As we approach Labor Day, many Michiganders will be flocking to their cottages and their boats for the final time this summer. Michigan actually has one of the highest rates of boat ownership per capita in the nation.¹

And have you ever stopped to think, “Is it really legal to drink while driving a boat?” If you’ve been a spectator at Jobbie Nooner at Lake St. Clair, MI, surely this thought might have crossed your mind at some point.

The short answer is, yes. It is lawful to drive a boat with an open container or two of alcohol. But you have to be careful not to cross the line.

Indeed, the rules for drinking and boating differ in some important ways from drinking while driving. The laws for drinking while boating are governed by the Marine Safety section of Michigan’s Environmental Protection Act

Many Michigan boaters will be surprised to find out that the legal limit for Blood Alcohol Content (BAC) on the water is .10, as opposed to .08 on the roads.

Further, Zero Tolerance laws do not apply on the water as they do on the road. That means you cannot be charged for boating while intoxicated (BUI) if you have taken a prescription medication, and boaters under 21 are held to the same standards as adults.

All this might sound great and more lenient, but boaters should also take caution. When you’re out in the sun all day, just a few drinks could get you to that .10 threshold quickly if you don’t hydrate with water. And just like on the roads, there’s implied consent on the water. (Check out our Fraud Blog’s latest post on Implied Consent in Michigan: click here)

Under implied consent on the water, when you get behind the wheel of a boat you are considered to have consented to a BAC test. Even if you don’t take a breathalyzer test, you can still be detained and taken back to shore if you appear to be disorientated, confused, smell of alcohol, or were driving recklessly.

It’s also important to note that these laws not only apply to boats. Jet skis, kayaks, canoes, and any other type of water craft that can be used for transportation fall within the reach of these laws.

It is also unlawful for the owner of a vessel to allow anyone else to operate their vessel if that person is under the influence of alcohol or drugs.

The penalties for a BUI? 

• For a first conviction, up to 93 days in jail, 45 days of community service, a fine of up to $500, or any combination of those penalties.
• Another offense within seven years may lead to jail time up to one year, with a minimum of 48 hours of consecutive jail time, fines ranging from $200-$1,000, and up to 90 days of community service.
• Upon a third conviction within 10 years, a person will be guilty of a felony, saddling you with a punishment of no less than one year and up to five years of jail time, a fine of $500 to $5,000, or both.
• Enhanced penalties for causing death or disfigurement for another are sentences of up to 15 years and 5 years respectively. 

It’s important to note that a prior drunk-driving offense cannot be used to enhance a drunk-boating offense, and vice-versa. And while drunk driving offenses have a lifetime “look back” period for felonies, the drunk-boating look back period cuts off at 10 years.

So if you and your family head out on the water this summer, as many Michigan families do, boat safely and drink responsibly. A few Corona and limes on a nice summer day could get you into more trouble than you think if you’re not careful, even with a BAC limit of .10 on the water.

¹ Keeping Your Head Above Water in Drunk Boating Cases, Patrick Barone. https://www.michbar.org/journal/pdf/pdf4article1300.pdf

Open Carry & Police Stops in Michigan: Context Matters

Mark Mandell, Esq.

Young men adorned in black garb with rifles slung across their backs walking by a hospital are sure to raise some eyebrows, especially in the suburbs – but it’s not necessarily illegal if you’re over 18 in Michigan. But is it a violation of your constitutional rights if the police temporarily stop and disarm you to ensure you are not unlawfully carrying?

District Court Judge Robert H. Cleland recently handled such a case out of Sterling Heights, MI, and his answer was a resounding, “No” – it is not a violation of constitutional rights for police to temporarily stop you if they have probable cause to believe you might be breaking the law.

Sterling Heights police had received at least six phone calls from concerned residents about individuals who looked like teenagers, dressed in all black with sunglasses, and who were also openly carrying rifles and handguns. Police stopped the individuals, peacefully disarmed them, and then confirmed they were indeed over 18 and lawfully carrying. The guns were returned, and police went on their way.

However, following the incident, the two men who were stopped sued Sterling Heights, its police department, and several officers. They alleged that the officers violated their First, Second, and Fourth Amendment rights.

Judge Cleland sided with the officers. The police officers have what is called “qualified immunity,” whereby government officials are shielded from civil liability when actions performed in their official capacity do not violate “clearly established” rights. And the right to bear arms, like many rights, is not absolute.

In this case, the police officers also had probable cause to believe that the individuals were violating the law – specifically a Michigan law which prohibits people under the age of 18 from openly carrying firearms in public without supervision of an adult. Given their youthful appearance, and one call that refereed to the young men as teenagers, the officers were justified in stopping and searching the individuals to confirm their age.

The individuals who were stopped also alleged their First Amendment rights were violated and that their open carrying of rifles constituted speech. They referenced this year’s Memorial Day Parade where members of a group called Michigan Open Carry marched while carrying guns. However, the Open Carry group had registered in the parade and given prior notice that they would be open carrying, while these two individuals were simply walking the streets in all-black, foreboding attire.

In the words of Judge Cleland, the two were clearly, “trolling for confrontation.” But the overall point is that context matters, especially in lieu of recent mass-shooting events in suburbs where the perpetrators were wearing similar outfits. On the other hand, had these individuals been walking on a street in the UP during hunting season, they may not have had any second looks.

It is important to note that Michigan law does prohibit the carrying of firearms in certain locations, and private establishments can also prohibit firearms. If you are over 18, then you can open carry in some public spaces. However, depending on the circumstances and context, you may be subject to a search from law enforcement.

In the (colorful) words of Judge Cleland’s opinion:

“…in the contemporary reality of a settled, peaceful suburban environment, where most of the hunting is done between aisle three and the frozen food section, the sight of commandos with AK-47s marching along the highway predictably grabs the attention of citizens and law enforcement alike.”

If you have questions about your rights, you can contact Mark Mandell or Don Knapp with Fausone Bohn, LLP at (248) 380-0000. 

Fausone Bohn Scores a Win at Michigan Court of Appeals

Two years ago, then-Congressman Thaddeus McCotter of Michigan’s 11^th District got caught up in a petition fraud scandal that threw him off the ballot and led him to resign from Congress.

It also led to two of his staffers being charged with “conspiracy to commit a legal act in an illegal manner” – a felony. A team of lawyers at Fausone Bohn handled the matter successfully from the trial court all the way to the Michigan Court of Appeals.

The trial judge agreed that the Michigan Attorney General over charged in the case, and dismissed the conspiracy charges. The decision was upheld by the Court of Appeals.

A job well-done by attorneys Mark Mandell, Keith Madden, and Jim Pelland!

Read more on the case here: http://www.hometownlife.com/apps/pbcs.dll/article?AID=%2F201408061723%2FNEWS10%2F308060029

Are you in need of legal help? Our firm has a breadth of experience, from criminal law and family law, to business and corporate matters. Check out our website, www.fb-firm.com, to see if we can be of assistance to you. Or give us a call at 248-468-4536.

Habitat for Humanity Western Wayne County

Habitat for Humanity Western Wayne County has a home available for a veteran.

If you are interested in seeing if you qualify please contact HFH at (734) 459-7744. 

The next orientation will be at the Habitat office, 638 Starkweather, Plymouth, MI, at 1:00 pm on Wednesday, August 6. The orientation is mandatory in order to apply. Thank you for your service.

Police Patrols will be Watching for Drunk Drivers on July Fourth Holiday

Mark Mandell, Esq.

As another holiday approaches with the Fourth of July, police officers across the state will be keeping a closer eye out for drunk drivers, especially on Michigan’s highways. Summer holidays are a very busy time for travel and officers will be making sure that everyone gets to their family gatherings safely.

Not only is drunk driving extremely dangerous, but there are hefty consequences associated with drunk driving. A person is considered “over the limit” if they are operating a vehicle with a BAC of .08 or greater. There are enhanced penalties for “Super Drunk Driving” if an individual’s BAC is 0.17 or higher.

The severity of the penalties depends on what number offense it is and the level of intoxication. The penalties include the following:

• If BAC is below .17 and it is a first offense the penalties includes up to a $500 fine and Up to 93 days in jail;
• If BAC is above .17 and it is a first offense the penalties includes up to a $700 fine and 180 days in jail;
• If it is a second offense within 7 years the penalties include one or more of the following: a $200 to $1000 fine and/or 5 days to 1 year in jail;
• If it is a third offense within a lifetime the offense is considered a felony and the penalties include one or more of the following: a $500 to $5000 fine, 1 to 5 years imprisonment and/or probation with 30 days to 1 year in jail;
• Additionally, convicted drunk drivers are subject to a $1,000 penalty for two consecutive years under the Driver Responsibility Act, for a total of $2,000 in additional costs.

There are a number of safer alternatives to drunk driving. Safer alternatives include: designating a sober driver; calling a friend; taking a cab; walking or staying overnight at a family or friend’s home.

If you are facing drunk driving charges, or have questions regarding the law, contact experienced criminal defense attorney Mark Mandell at 888-674-1189 or online at www.MichiganFraudLawyer.com.

Staying Above Water: What You Need To Know About Drinking While Boating

Mark Mandell, Esq.

As we approach summertime and holidays like the Fourth of July, Michiganders will soon flock to their cottages and their boats. Michigan actually has one of the highest rates of boat ownership per capita in the nation.¹

And have you ever stopped to think, “Is it really legal to drink while driving a boat?” If you’ve been a spectator at Jobbie Nooner on Lake St. Clair, MI, surely this thought might have crossed your mind at some point.

The short answer is, yes. It is lawful to drive a boat with an open container or two of alcohol. But you have to be careful not to cross the line.

Indeed, the rules for drinking and boating differ in some important ways from drinking while driving. The laws for drinking while boating are governed by the Marine Safety section of Michigan’s Environmental Protection Act

Many Michigan boaters will be surprised to find out that the legal limit for Blood Alcohol Content (BAC) on the water is .10, as opposed to .08 on the roads.

Further, Zero Tolerance laws do not apply on the water as they do on the road. That means you cannot be charged for boating while intoxicated (BUI) if you have taken a prescription medication, and boaters under 21 are held to the same standards as adults.

All this might sound great and more lenient, but boaters should also take caution. When you’re out in the sun all day, just a few drinks could get you to that .10 threshold quickly if you don’t hydrate with water. And just like on the roads, there’s implied consent on the water. (Check out our Fraud Blog’s latest post on Implied Consent in Michigan: click here)

Under implied consent on the water, when you get behind the wheel of a boat you are considered to have consented to a BAC test. Even if you don’t take a breathalyzer test, you can still be detained and taken back to shore if you appear to be disorientated, confused, smell of alcohol, or were driving recklessly.

It’s also important to note that these laws not only apply to boats. Jet skis, kayaks, canoes, and any other type of water craft that can be used for transportation fall within the reach of these laws.

It is also unlawful for the owner of a vessel to allow anyone else to operate their vessel if that person is under the influence of alcohol or drugs.

The penalties for a BUI?

• For a first conviction, up to 93 days in jail, 45 days of community service, a fine of up to $500, or any combination of those penalties.
• Another offense within seven years may lead to jail time up to one year, with a minimum of 48 hours of consecutive jail time, fines ranging from $200-$1,000, and up to 90 days of community service.
• Upon a third conviction within 10 years, a person will be guilty of a felony, saddling you with a punishment of no less than one year and up to five years of jail time, a fine of $500 to $5,000, or both.
• Enhanced penalties for causing death or disfigurement for another are sentences of up to 15 years and 5 years respectively.

It’s important to note that a prior drunk-driving offense cannot be used to enhance a drunk-boating offense, and vice-versa. And while drunk driving offenses have a lifetime “look back” period for felonies, the drunk-boating look back period cuts off at 10 years.

So if you and your family head out on the water this summer, as many Michigan families do, boat safely and drink responsibly. A few Corona and limes on a nice summer day could get you into more trouble than you think if you’re not careful, even with a BAC limit of .10 on the water.

¹ Keeping Your Head Above Water in Drunk Boating Cases, Patrick Barone. https://www.michbar.org/journal/pdf/pdf4article1300.pdf

Implied Consent: Know the Rights You Don’t Have

Mark Mandell, Esq.

Did you know that each time you get into the driver’s seat in Michigan, you are considered to have consented to a BAC test? Before heading out for a few drinks with friends, there are some important points everyone should keep in mind if you’re thinking of getting behind the wheel, in addition to having a designated driver.

Under Michigan’s Implied Consent Law, all drivers are considered to have given their consent to chemical tests to determine their Blood Alcohol Content (BAC). It does no good to refuse a BAC test, as there are significant penalties.

First of all, if you refuse the test, six points will be added to your driver’s record and your license will be automatically suspended for one year. This is a separate penalty from any subsequent convictions resulting from the traffic stop. Secondly, there is always a judge on-call for the police to get a warrant for a blood-draw.

Further, if you refuse a test, or if the test shows your BAC is 0.08 or more, your driver's license will be destroyed by the officer and you will be issued a 625g paper permit to drive until your case is resolved in court.

If you are arrested a second time in seven years and again unreasonably refuse the test, six points will be added to your driver's record and your license will be suspended for two years. 

The suspension may be appealed to the Traffic Safety Division, but the request for a hearing must be submitted within 14 days – if you do not submit a request for a hearing, your license will be automatically suspended.

Implied consent hearings place a huge burden on the accused, but there are ways to soften damages in the process.

The implied consent hearings are conducted by attorneys from the Department of State. You must show that the refusal to take the test was not unreasonable – and this is extremely difficult to prove. However, the Michigan Supreme Court has ruled that you may request a call to your attorney before submitting to a breath test (Hall v. Secretary of State, 1975): if you are not allowed this opportunity, you may reasonably refuse a breath test.

You should also be informed about the “One Hour Rule,” whereby you generally have one hour to change your mind about submitting to a test. For example, if you refuse at first, but change your mind 15 minutes later, then you have not unreasonably refused the test.

Although the burden of proof is incredibly difficult to overcome, first-time offenders can petition the circuit court for a restricted driver’s license. You can also appeal any legal defects in the implied consent procedure to the circuit court. Having an experienced and knowledgeable attorney at your side to fight for your rights can make a huge difference.

If you have been charged with refusing to take a breath test, contact attorney Mark Mandell at (248) 380-0000 or online at www.MichiganFraudLawyer.com. 

Medicare Fraud: Who’s in on it and how they’re getting away with it

Mark Mandell, Esq.

Imagine a single mom with five kids with no income on record and struggling to make ends meet – sounds like an eligible candidate for government subsidy programs. She signs up for the SNAP (Supplemental Nutrition Assistance Program) and Medicaid for herself and her children and gets government assistance to help cover her rent.

But in reality, she’s married, her husband has an all-cash business, which allows her to rake in thousands of dollars a month via welfare programs and remain undetected by the government.

This situation is all too common throughout the US. Savvy individuals are able to game the healthcare system through tricks such as getting married under religious law but not state law. These individuals scam taxpayers time and time again.

The amount of taxpayer money down the drain from fraud and spent on curbing fraud are jaw-dropping.

The federal government is projected to lose $19.6 billion in “improper payments” under the Medicaid program. Accurate fraud figures can be hard to calculate since improper payments aren’t necessarily fraudulent--they could be due to an error either by the government or recipient. Fraud estimates for fiscal year 2014 are up from last year’s $17.4 billion, but down from 2010’s $22.5 billion estimation of improper payments.

Federal Medicaid Spending is projected to be $298 billion in 2014, and Medicare is projected to be $603 billion. The SNAP program cost $79.9 billion in 2013. The White House requested $389 million to fund the Department of Health and Human Services’ Office of the Inspector General in an attempt to better curb waste in the 2104 budget.

In February of this year, the D.C. U.S. attorney’s office announced the largest health-care fraud takedown in the history of the District. The multi-year effort led to more than 20 arrests and schemes involving millions of dollars in fraud, kickbacks and false billings in the home health-care services field throughout the nation’s capital.

Ron Machen was the U.S. attorney for Washington, D.C. on the case. He said his office was tipped off to the scheme when certain agencies were requesting 300% more than other Medicaid beneficiaries over the past several years.

“We were wondering what the reason was for such a skyrocket in growth,” Machen says in a recent Fox News report. “We used wires, cover agents and beneficiaries to uncover them.”

What they uncovered was eye opening. The investigation busted personal care assistants misrepresenting the amount of time they spent with beneficiaries. These beneficiaries would fill out inaccurate time sheets and submit them to home care agencies. While the sheets listed them as being seen by assistants for up to eight hours, in reality the personal care assistants never saw the patients.

The beneficiaries were elderly, disabled and low-income, said Machen, and recruiters would offer them kickbacks of $200 a week and coach the patients on what to say if someone asked about their work.

Healthcare fraud is also an increasing concern with the Obamacare overhaul.

If you have questions about health care fraud, or are afraid that you may have been the victim of a fraud, contact the experienced attorneys at Fausone Bohn, LLP, by calling (248) 380-0000 or online at www.MichiganFraudLawyer.com. 

To read the Fox News story on this fraud bust, click here: http://www.foxbusiness.com/personal-finance/2014/02/28/medicaid-fraud-whos-in-on-act-and-how-theyre-getting-away-with-it/

Heroin Addiction: The Personal and Legal Costs

Mark Mandell, Esq.

With the death of the famous actor Phillip Seymour Hoffman, discussion on the recent spike in heroin-related deaths has been catching headlines. Heroin use is becoming more prevalent across Michigan suburbs especially, and heroin use has increased by 79% nationally from 2007-2012, according to the National Survey on Drug Use and Health.

There were 158 heroin-related deaths in Michigan from 2007-11, according to the most up-to-date figures from the Michigan Department of Community Health. For youth in particular, the rising costs of prescription drugs have steered them toward heroin, a much cheaper drug that delivers the high many crave.

Aside from the personal toll such drug use can cause for families and young people, there are serious legal ramifications if you are caught using or dealing heroin. As a Schedule I drug, the typical penalties in Michigan are:

Heroin use is a misdemeanor drug crime with jail time up to one year, a fine of up to $2,000, or both.

Heroin possession is a felony drug crime and penalties vary depending on the amount:

·         Less than 50 grams, prison time up to four years, a fine of up to $25,000, or both.

·         50-499 grams, prison time up to 20 years, a fine of up to $250,000, or both.

·         450-999 grams, prison time up to 30 years, a fine of up to $500,000, or both.

·         1,000 grams or more, prison time up to a life sentence, a fine of $1,000,000, or both.

Heroin manufacture and creation is also a felony in Michigan, and penalties vary:

·         Less than 50-499 grams, prison time up to 20 years, a fine of up to $25,000, or both.

·         450-999 grams, prison time up to 30 years, a fine of up to $500,000, or both.

·         1,000 grams or more, prison time up to a life sentence, a fine of up to $1,000,000, or both.

Many families have the “this could never happen to us” mentality. But if you suspect a loved-one of drug use, be sure to speak up and intervene. If you are caught in an unfortunate situation of being accused of heroin use, possession, or creation, be sure to contact an experienced defense attorney.

Mark Mandell provides invaluable legal counsel to individuals caught in such situations; you can contact Mr. Mandell at (248) 380-0000 or online at www.MichiganFraudLawyer.com. 

To read more on the recent spike in heroin use, check out The Detroit News’ recent article: http://www.detroitnews.com/article/20140205/METRO08/302040127/Heroin-addiction-hits-hard-across-Michigan

For more information on the additional federal penalties involved with various drugs, follow this link: http://www.justice.gov/dea/druginfo/ftp3.shtml

“Return Fraud/Return Abuse” Up from Last Year, Costs Retailers Billions

Mark Mandell, Esq.

I write frequently on the penalties and costs involved with committing retail fraud. During harsh economic times, such as now as we emerge from the Great Recession, retail fraud may be a particularly tempting option. However, “return fraud,” a form of retail fraud, may be even more so, especially in the post-holiday season.

Return abuse, sometimes called “friendly fraud,” occurs when a person purchases merchandise without intending to keep it. “Returnaholics” are those who buy and return items excessively either with fraudulent or dishonest intent, or they have an inability to control their shopping habits.

A recent report shows that 5.8% of holiday returns this year were fraudulent, up from 4.6% last year, costing the retail industry $3.39 billion. Return fraud, or return abuse, costs retailers approximately $8.76 billion per year.

Those returnaholics who have fraudulent intent often deceive the retailer into giving a cash refund or credit which is illegal; or, they may not be breaking the law, but abuse retailers’ return policies and buy merchandise with the intent to return it later.

To give a typical example of return fraud, consider the Super Bowl played earlier this month. There have been reports in the past of consumers purchasing big screen TVs specifically for the game, with no intent on keeping their 50-inch flat-screens. Upon the game’s final buzzer, some fraudulent fans don’t pick up the remote again and return their purchase within days.

No matter what form it takes, this practice costs the industry billions per year, and likely contributes to rising prices each year as more and more return fraud is committed. With worsening economic times, the chance of general retail fraud and theft increase, thus compounding the problem for all consumers. The fact is, harsh economic times and increasing prices always increase the chance of theft for retailers, and in the long-run this hurts employees and consumers alike.

Retail fraud is governed by statute - MCL §750.356. MCL §750.356c provides that any person who commits retail fraud in the first degree is punishable by imprisonment for not more than 5 years or a fine of not more than $10,000.00 or 3 times the value of the difference in price, property stolen, or money or property obtained or attempted to be obtained, whichever is greater, or both imprisonment and a fine. MCL §750.356d provides that any person who commits retail fraud in the second degree is punishable by imprisonment for not more than 1 year or a fine of not more than $2,000.00 or 3 times the value of the difference in price, property stolen, or money or property obtained or attempted to be obtained, whichever is greater, or both imprisonment and a fine. MCL §750.356d provides that any person who commits retail fraud in the third degree is punishable by imprisonment for not more than 93 days or a fine of not more than $500.00 or 3 times the value of the difference in price, property stolen, or money or property obtained or attempted to be obtained, whichever is greater, or both imprisonment and a fine.

The harsh penalties of retail fraud make having experienced and knowledgeable legal counsel invaluable.  If you have been charged with retail fraud, contact attorney Mark Mandell at (248) 380-0000 or online at www.MichiganFraudLawyer.com.