News Release - Rochester Police, Office of Public Integrity Arrest Business Owner for Insurance Fraud

City of Rochester

News Release

(Thursday, June 23, 2011) – Investigators with the Rochester Office of Public Integrity and the Rochester Police Department have arrested the owner of a business performing work for the City on charges related to insurance fraud.

Christine Clendenning, 42, of 320 Lakeshore Blvd. Extension was arrested Wednesday morning and charged with Falsifying Business Records in the First Degree (E-Felony), Grand Larceny in the Third Degree (D-Felony), Fraudulent Practices (E Felony) and Workers’ Compensation Fraud (E Felony).

Clendenning is the owner of Christine Custom Design Inc. and had a contract to perform home rehabilitation work for the City in partnership with the Group 14621 Community Association and the South Wedge Planning Committee between Nov. 20, 2007 and July 2, 2010. The contract required that Clendenning have workers compensation insurance.

An auditor with the New York State Insurance Fund discovered that Clendenning did not have workers compensation insurance but provided false certificates claiming to have it. Those findings were reported to the Office of Public Integrity.

“This arrest, like others before it, demonstrates that we hold our contractors to the same ethical and legal standards as our employees,” said Office of Public Integrity Director David Moore. “These contracts are awarded on a competitive basis, so we cannot tolerate those who would lie or scheme to gain an advantage in this marketplace.”

The investigation was conducted with cooperation from State of New York Workers’ Compensation Board Office of the Fraud Inspector General; New York State Insurance Fraud Bureau; New York State Insurance Fund and the Monroe County District Attorney’s Office.

Clendenning was arraigned in Rochester City Court today and released on her own recognizance.


News Media: For more information, Contact OPI Director David Moore at 428-7245.