A Charlotte towing manager is facing felony charges after North Carolina investigators said an insurance invoice included a $500 cleanup fee for work that surveillance video and witnesses suggested never happened.
Antonio Lorenzo Covington, 32, the general manager of Tow Godz LLC, was charged with insurance fraud and obtaining property by false pretense, according to the North Carolina Department of Insurance. Both charges are felonies, and the allegations remain unproven in court.
The case centers on a $4,250 towing invoice submitted to Peak Property and Casualty Insurance Corp. in March. The invoice allegedly included a $500 cleanup charge and a $750 special-equipment fee, while The Charlotte Observer reported that court records indicate no cleanup or special equipment was used during the recovery.
Investigators Say The Extra Fees Were Never Earned
According to the state insurance department, surveillance footage and witness statements indicated that the vehicle recovery did not involve the services listed on the invoice. Officials accuse Covington of submitting the claim despite that evidence.
Insurance Commissioner Mike Causey used the arrest to repeat his warning that insurance fraud affects more than insurers. “Insurance fraud is not a victimless crime,” Causey said in a statement, adding that it can push premiums higher for consumers.
Charlotte Towing Practices Already Under Scrutiny
The allegations arrive as Charlotte-area towing practices face increased attention. Earlier this year, a separate local tow operator agreed to pay about $30,000 to drivers and accept restrictions after state officials accused the business of discriminatory booting and price-gouging, as detailed by Hoodline; the operator did not admit wrongdoing.
Covington’s Next Court Date
Covington was arrested last Tuesday and placed under a $20,000 secured bond, according to the state. His next Mecklenburg County District Court appearance is scheduled for next Tuesday, The Charlotte Observer reported.
North Carolina’s insurance department is asking residents to report suspected insurance fraud anonymously through its Criminal Investigations Division. A charge is only an accusation, and Covington is presumed innocent unless proven guilty.
