Pastor Stephen Olayinka from Luton was found guilty of contempt of court for making false statements in relation to a personal injury claim insurance claim. He was sentenced to a three-month custodial sentence and ordered to pay costs of £13,500 plus VAT, totalling more than £16,000.
Olayinka has also been ordered to pay Horwich Farrelly’s costs of the personal injury claim which was declared to be fundamentally dishonest which are subject to detailed assessment.
Horwich Farrelly, the leading specialist insurance law firm, proved that Olayinka’s claim for loss of earnings following a road traffic collision was fundamentally dishonest and that Olayinka had misrepresented his medical history to his medical expert as he failed to disclose that his injuries were actually caused by him lifting heavy luggage before the index accident had occurred.
In a case dating back more than four years, Olayinka, 48, submitted a claim to Admiral, stating that he sustained such severe injuries in a road traffic accident in April 2015 that he was unable to complete a lucrative IT consultancy contract and missed out on £31,000 in earnings.
However, Horwich Farrelly’s investigations quickly discovered there was no mention of the collision or any resulting injuries in Olayinka’s medical records, and that the IT consultancy contract had been significantly reduced in scope before Olayinka gave notice that he wished to terminate the contract on the morning before the collision.
Emily Robins of Horwich Farrelly commented: “Mr Olayinka’s costly mistake should serve as an example to anyone else believing that insurance fraud is a victimless crime and that even if they are caught there will be little consequence.
“Even though Admiral chose to proceed with committal in the knowledge that they may well be unable to recover costs against Mr Olayinka, their robust action demonstrates that they were keen to send a message that those making fraudulent claims against insurers should expect the most serious consequences.”
Admiral Head of Claims, Lorna Connelly, commented, “We’re understandably satisfied with this significant ruling and the message it sends to anyone considering making a fraudulent claim. The investigation proved Mr Olayinka was fundamentally dishonest, he plainly lied about his loss of earnings and the injury he sustained in the accident.
“We hope his custodial sentence sends a warning that Admiral will fight against dishonesty and anyone failing to tell the truth could end up in the same position as Mr Olayinka. We also hope the decision will make claimants think twice before bringing these cases to court in the first place.”