Attempted murder and insurance fraud mix in Philadelphia conviction

Man faces up to 29 years in prison, while his son will serve house arrest for his role in the scam

Insurance News

By Allie Sanchez

A South Philadelphia man already convicted for attempted murder will face an extended prison term after being convicted for another count of attempted homicide and fraud for the alleged scams that operated out of his auto shop.

Ronald Galati Sr. is facing from 14-and-a-half years to 29 years in prison for the offenses, and was ordered to pay almost $2 million to the companies he swindled and another $200,000 to the city, Philadelphia District Attorney Seth Williams said through his office.

Regional publication The Metro also reported that Galati Sr.’s son faces penalties for being an accessory to his offenses. Ronald Galati Jr. will spend nearly two years in house arrest, and pay up to $450,000 in damages to the city and to Erie Insurance.

Robert Otterson, a former city employee who did not contest the charge of conspiracy for his role in the scam and perjury, will be sentenced within the week. 

Prosecutors alleged that while Otterson was bringing city vehicles to American Collision, the shop owned by the Galatis, for repairs, the senior Galati overbilled the city, charging as much as three times the job hours he actually completed.

A March statement outlining the charges against the elder Galati said: “Galati Sr. secured the contract because he colluded with Robert Otterson, who was a fleet management team leader and licensed appraiser, to manipulate the bidding process. Otterson not only told Galati the amount he should bid for the city contract, but he also passed American Collision through the preliminary inspection despite the fact that the shop did not own the required welder.”


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