Investigators with the Los Angeles District Attorney's InsuranceFraud Bureau of Investigation arrested Paul Daniel Poizner, 45, athis Ventura County, Calif. home on Jan. 21, 2010 in connection withan auto claim fraud scheme.

Los Angeles County, Calif. prosecutors have charged the California Casualty Management (CCM) insurance adjuster with 60counts of embezzlement and auto insurance fraud, The LosAngeles Times reports. Poizner, a second cousin of StevePoizner, California Insurance Commissioner and Republicangubernatorial candidate, allegedly submitted checks for auto claimsthat exceeded the amount of repairs and then pocketed thedifference.

The plot thickened when CCM audited auto damage claims submittedbetween May 2008 and February 2009, according to the criminalcomplaint filed by L.A. County prosecutors. CCM then contacted theoffices of the prosecutor and the insurance commissioner inMarch.

A spokesman for Steve Poizner's office said the insurancecommissioner immediately recused himself from the investigation.Commissioner Poizner has garnered various accolades for his stronganti-fraud stance. Most recently, he received a fraud-fightingaward from the Employers' Fraud Task Force, a state-basedorganization composed of insurance industry experts and lawenforcement officials committed to combating workers' compensationfraud and abuse.

Commissioner Poizner oversees 16 CDI Enforcement Branch regionaloffices throughout the state. Approximately 2,000 insurancefraud-related arrests have been made by the Department ofInsurance's enforcement division since he assumed office in 2007 --more arrests than in any other two year period, under any previousinsurance commissioner.

PaulPoizner is being held on $294,000 bail, just shy of the$300,000 he is accused of collecting from the scheme. He willreturn to court on Feb. 5th for a preliminary hearing.