North Kingstown contractor sentenced to serve 30 months in state prison, pay $65,000 in restitution for insurance fraud

Published on Friday, June 16, 2023

Attorney General Peter F. Neronha today announced that a North Kingstown contractor has been sentenced in Washington County Superior Court to serve 30 months at the Adult Correctional Institutions (ACI) and ordered to pay more than $65,000 in restitution after pleading to fraudulently cashing insurance checks.

On June 6, 2023, before Superior Court Justice Sarah Taft-Carter, Francis Martin (age 62) entered a plea of nolo contendere to five counts of forgery, and was sentenced to 10 years, with 30 months to serve at the ACI, a seven-and-a-half-year suspended sentence and 10 years of probation. Judge Taft-Carter also ordered the defendant to pay a total of $65,300.24 in restitution.

“When contractors ignore the law and prey on homeowners, endangering their safety and emptying their pocketbooks, strong action by this Office is warranted,” said Attorney General Neronha. “My message to these types of predatory businesses: our Office stands ready to protect consumers and businesses who play by the rules, and if you break the law and rip people off Rhode Islanders, we will be there to ensure you are held accountable.”

Had the case proceeded to trial, the State was prepared to prove beyond a reasonable doubt that in 2014, the defendant forged signatures on insurance checks, for construction work that he never completed, fraudulently collecting $72,490.04 from two homeowners in Narragansett and Exeter. The defendant was credited for some of the work he performed.

In March 2016, the Rhode Island State Police (RISP) Financial Crimes Unit received complaints from the two homeowners alleging that they hired the defendant to repair significant water damage at their respective homes.

In March 2014, the first victim hired the defendant to fix a water leak in the basement of her home and after meeting with him to discuss the scope of the damage, she decided to file a claim with her insurance company. The defendant offered to deal with the victim’s insurance company directly and she agreed to let him. In April and June of that year, the defendant contacted the victim to endorse a total of three checks he received from her insurance company, each of which was made payable to the victim, the defendant', and Rhode Island Housing as the mortgage holder. And each check was signed by the victim, stamped by the defendant, and contained a handwritten signature of “Rhode Island Housing.” Investigators learned from the victim that after the defendant received the final check, the defendant and his work crew abandoned the job.

Investigators contacted Rhode Island Housing’s legal team and they advised that a handwritten “Rhode Island Housing” endorsement is never used to endorse a check, but rather they would use an authorized stamp and include the endorsement of an authorized signatory.

In an almost identical situation, the second victim hired the defendant to fix significant water damage in her home. Again, the defendant offered to contact her insurance company directly. In July 2014, the defendant met with the victim so she could endorse the two checks he had received from her insurance company, each of which was made payable to the victim, the defendant, and People’s Credit Union, the mortgage holder. Once more, the cashed checks were endorsed by the victim and the defendant, and contained a handwritten signature of the mortgage holder. People’s Credit Union confirmed that they did not endorse the checks. Investigators learned that after the defendant received the checks, the defendant and his work crew abandoned the job.

The defendant has also been charged with several misdemeanor counts of failing to comply with final orders of the Contractor’s Registration and Licensing Board (CRLB) stemming from the same conduct in this case. That case remains pending in Providence Superior Court.

“I applaud the investigative efforts of our Troopers and the Attorney General’s office for bringing the defendant to justice,” said Colonel Darnell S. Weaver. “The Rhode Island State Police and its Financial Crimes Unit is committed to targeting and eradicating this type of illegal behavior.”

Assistant Attorney General Mark Trovato of the Office of the Attorney General and Detective James Brown of RISP led the investigation and prosecution of the case.

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