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CCRE Denounces Lack of Collision Industry Outrage Over Insurer Employee's Bribe-Taking


Date: 11/04/08

CCRE Denounces Lack of Collision Industry Outrage Over Insurer Employee's Bribe-Taking

A 35-year employee of Allstate Insurance, Robert Groebner, who formerly oversaw the operation of 21 Illinois PRO (Direct Repair) shops, was fired by Allstate in September 2002.  Groebner�s firing was triggered by complaints from three Allstate PRO shop owners that he had been soliciting cash payments from them in exchange for his allowing the shops to remain on the insurer�s Direct Repair program.  His multi-year solicitations possibly netted Groebner in excess of $500,000.  He has since been apprehended, admitted his guilt, and entered a plea agreement to lesser charges.

 

The Coalition for Collision Repair Excellence (CCRE Ltd.), in addition to condemning Groebner�s activities, feels just as strongly that any and all shops that participated in Groebner�s bribe-taking should also have been legally indicted, rather than exonerated and reimbursed by Groebner.  Though only three shops admitted participation, other shops were also involved. 

 

CCRE Ltd. believes this type of activity between collision repairers and insurance representatives is quite common, and is an illegal practice that needs to be exposed.  The abuse has great potential to result in improper, possibly dangerous repairs, adversely impacting vehicle owners and honest repair shops.

 

CCRE Ltd. denounces the Direct Repair system of collision repair, as DRP agreements inherently tend toward promoting a variety of fraudulent activities, as certain shops seek means of acquiring greater market share at any cost. 

 

CCRE Ltd. believes our Federal Government could put an end to many such abuses overnight if it were to enforce the 1963 Consent Decree, which expressly forbids the activities that Direct Repair promotes.   

 

Additionally, CCRE Ltd. strongly encourages collision trade news sources, associations, and societies to vigorously expose such illegal activities between repairers and insurers, as they become known.  Without such exposure CCRE believes the collision industry will continue to deteriorate, resulting in shops� declining net profit, and great disdain for the industry in the public�s eye. 

 

For further information, contact CCRE toll free at 877-700-7743 or at office@theccre.com .  CCRE Limited is The Collision Coalition dedicated to promoting the interests of quality-minded independent collision repair shops.




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