Lawsuit Targets Allegedly Fraudulent Houston Towing Companies

Filing Focuses on Family of Alleged Fraudsters

HOUSTON, Dec. 16 -- Three family members operating Houston automobile towing, storage and repair companies lead a list of seven defendants accused of over-charging for routine tow services and disassembling vehicles belonging to unsuspecting Harris County accident victims.

The charges are laid out in a lawsuit filed Wednesday by Allstate Insurance Company in Harris County - alleging fraud and false representation involving more than 100 Houston area motorists. The lawsuit is seeking actual and exemplary damages totaling more than $180,000.

The suit alleges the defendants intentionally overcharged Allstate Insurance Company and falsely claimed "tear downs" of some vehicles in their possession were authorized by the vehicle owners - further escalating charges to the insurer.

Allstate filed the suit in Harris County state District Court against individual business owners, Faraj "Sam" Said, Ghassan "Gus" Said, Ibrahim Said, and Patrick Green, their corporate entities and their related towing, storage and repair companies.

The lawsuit was filed following an extensive investigation by Allstate's Special Investigative Unit and seeks reimbursement of monies Allstate has paid in alleged overcharges.

"Phony insurance claims take an extra $200 to $300 out of every consumer's pocketbook annually in the form of higher premiums," says Jim Murray, Allstate assistant vice president in charge of the company's Special Investigative Unit. "Allstate has no tolerance for this crime, and we will continue to fight insurance fraud on behalf of our policyholders and consumers in general."

False Representation

The lawsuit alleges the defendants engaged in conduct intentionally designed to defraud Allstate by falsely representing the "true nature and origin of their services." The City of Houston and Harris County strictly regulate the amount automobile towing and storage companies can legally charge in any "non-consent" tow, which is often initiated by a police officer at the scene of an accident. The lawsuit alleges in many cases, the defendants falsely represented that their towing and storage services were requested or initiated by the vehicle owner. The lawsuit alleges the defendants then charged significantly higher rates for their services than allowed for "non-consent" towing and storage services.

Vehicle in Pieces

The lawsuit also contends the defendants falsely claimed that "tear down" of the vehicle in their possession was authorized by the vehicle owner. Tear down is a process used by body shops to evaluate damage to vehicles and estimate repair costs - leaving the car or truck in pieces and more difficult to move to a repair facility potentially preferred by the vehicle owner.

The Defendants

The defendants named in the lawsuit include Faraj "Sam" Said, Ghassan "Gus" Said, Ibrahim Said, Patrick Green, Noor Said Enterprises Inc. (aka Noor Enterprise Inc.), Budget Collision Inc. and National Auto Collision, Inc. The lawsuit identifies several businesses operated by the named Defendants, including National Auto Collision, Budget Auto Collision, Holmes Road Storage, South Loop Storage amongst others.

About Allstate

The Allstate Corporation is the nation's largest publicly held personal lines insurer. Widely known through the "You're In Good Hands With AllstateŽ" slogan, Allstate is reinventing protection and retirement to help more than 17 million households insure what they have today and better prepare for tomorrow. Consumers access Allstate insurance products and services through Allstate agencies, independent agencies, and Allstate exclusive financial representatives in the U.S. and Canada, as well as via www.allstate.com and 1-800 AllstateŽ.