From the March 2012 issue of Claims Magazine • Subscribe!

Fake Claim, Fake Death, Real Arrest

If he could travel back in time with the 1981 DeLorean he purchased with monies falsely collected from his insurer, maybe Travis Magdalena Scott could save his future. That’s not going to happen, however.

Scott, 34, stole more than $11 million from Zurich North America, falsely claiming lightning destroyed supercomputers at his Minneapolis-based business Security Management Technologies. He spent the insurance money on luxury goods, including three airplanes, a $700,000 house, a $300,000 yacht, a 2008 BMW M5, and the 1981 DeLorean.

In May 2011, Scott pleaded guilty to one count of wire fraud and one count of money laundering related to the fraudulent claims. A federal arrest warrant was issued for Soctt and he suddenly went missing. In September, a kayak washed up on the west shore of Lake Mille Lacs with a firearm and a suicide note inside, indicating Scott took his life.

Scott had actually fled to Canada. He was picked up in Winnipeg when a pharmacy employee alerted police that Scott attempted to use a forged prescription. He is back to facing up to 20 years for wire fraud and up to 10 years for money laundering. Additional charges are expected to be brought forth as well.

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