A former Los Angeles Police Department officer -- who is charged along with his brother -- pleaded not guilty Friday to insurance fraud in connection with a collision involving a luxury vehicle.
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According to the California Department of Insurance, the agency began its investigation after receiving a fraud referral alleging that Eric Benjamin Halem, 37, of Porter Ranch, falsely reported that his brother, Jacob Halem, 32, of Tarzana, borrowed the 2020 Bentley Continental GT and was involved in a solo- vehicle crash Jan. 5, 2023.
But an investigation determined that the luxury vehicle had been rented out through Eric Halem's exotic car rental company, Drive LA, and had been involved in a collision three days earlier, with Eric Halem allegedly filing a fraudulent claim with his insurance company on his personal policy upon learning that the rental driver's insurance claim had been denied, according to the Department of Insurance.
Investigators discovered that damage in photos submitted in connection with the claim was identical to damage captured in body-worn camera footage from the Los Angeles County Sheriff's Department on Jan. 2, 2023, before the vehicle was impounded, and Jacob Halem allegedly provided a false statement to an insurance company investigator, according to the Department of Insurance.
The total potential loss from the allegedly fraudulent claim was more than $229,000, authorities said.
The Department of Insurance described Eric Halem as a former LAPD officer and a current LAPD reserve officer. The LAPD could not be reached for immediate comment on his current status with the department.
Eric Halem is charged with two felony counts of insurance fraud, while his brother, who pleaded not guilty in April, is charged with one felony count of insurance fraud, according to a criminal complaint.
The two men are due back in a downtown Los Angeles courtroom June 26. A date is scheduled to be set then to determine if there is sufficient evidence to allow the case against them to proceed to trial.
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