Indianapolis, Indiana – A travel insurance system meant to protect people far from home became the engine of a long-running fraud operation. Over several years, fake policies, fabricated claims and carefully divided kickbacks produced nearly $1.2 million in losses.
The scheme ultimately generated 441 fraudulent claims. Eight defendants have now been sentenced in federal court after each pleaded guilty to conspiracy to commit mail and wire fraud.
According to court documents, Indianapolis resident Jennifer Fleener, 60, devised the operation in 2016 while working for a travel insurance company identified as “T.M.” The Houston-based company operated a travel division in Indianapolis and sold short-term medical coverage to people traveling outside the United States.
Fleener worked there from 2012 to 2021 as a case management supervisor and claims handler. Her position gave her detailed knowledge of how policies were issued, claims were reviewed and payments were approved.
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Her former husband, Mike Fleener, 54, joined the conspiracy in 2016 and recruited participants, many of whom lived in the Philippines. One recruit, Jasmin Aldava Grimes, purchased policies using her own information and information belonging to others, despite having no plans to take the trips described in the applications.
After fraudulent claims were paid, the proceeds were divided. Grimes shared money with Mike Fleener, who passed a portion to Jennifer Fleener. Grimes participated for about two years and recruited additional people.
Beginning in 2019, Jennifer Fleener expanded the operation by involving company employees, relatives and associates. Prosecutors said she submitted false claims and approved them without secondary review. T.M. then mailed payout checks to claimants, who distributed portions of the money among the conspirators.
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Jennifer Fleener received 57 months in prison and was ordered to pay $1,199,149.32 in restitution. Mike Fleener received 48 months and restitution of $1,188,470.58. Asha Mimms was sentenced to one year and one day in prison and ordered to pay $365,570.85.
Grimes, Jennifer Thompson, Amber McDaniel, Christopher Perdue and Dasha Pearson received probation terms ranging from two to three years, along with restitution orders.
Perdue also admitted making false statements and declarations before a federal grand jury after denying knowledge of the conspiracy to FBI agents and later repeating those denials under oath.
“Fraud schemes of any kind erode trust in programs designed to protect people in times of need,” U.S. Attorney Tom Wheeler said.
FBI Indianapolis investigated the case. U.S. District Judge Richard L. Young imposed the sentences, and Assistant U.S. Attorneys Bradley P. Shepard and Meredith Wood prosecuted the case.
