Philadelphia official, auto body shop charged in $400k fraud

Staff Writer
Columbus CEO

PHILADELPHIA (AP) — Prosecutors in Philadelphia allege that a city fleet supervisor steered work to an auto body shop that overcharged the city $400,000 for phony or inflated bills.

American Collision is also at the heart of a pending case accusing it of using deer carcasses and other props to stage accidents and collect on insurance claims.

Shop-owner Ronald Galati Sr. is already serving more than 20 years in prison for attempting a failed hit on his daughter's boyfriend.

Prosecutors alleged Tuesday that Galati and his son, Ronald Galati Jr., didn't have welding equipment needed to get the city contract, but city fleet supervisor Robert Otterson qualified them for the work and told them how much to bid to win the contract.

Attorneys for the defendants didn't immediately return calls seeking comment.