Sewickley Township man accused of money laundering in insurance check scheme

A Sewickley Township man is accused by state police of taking a $5,200 insurance check belonging to a woman who was in jail after another man wrecked her vehicle, according to court papers.

John R. Hyatt, 47, is charged with money laundering, forgery and theft. He was arraigned Wednesday and is free on $10,000 unsecured bond.

Police said James Carl Long, 32, of Tarrs, crashed a vehicle on Jan. 13, 2020 belonging to his girlfriend, who was incarcerated at the time. The vehicle was taken to C. Wolfe’s Auto Body and Sales and Long initiated an insurance claim which resulted in $5,200 check being issued to the woman, according to court papers.

Troopers said someone forged the woman’s name to endorse the check and Hyatt deposited it into a business bank account. Long told investigators that he worked at the shop at the time and was allowed to buy two vehicles for the check amount, according to court papers. Hyatt admitted to depositing the check after it was forged and selling Long two vehicles in exchange for the money, police said.

Troopers obtained the business’ bank records that showed the check was deposited on Feb. 14, 2020. Long was arrested in March and is awaiting trial on charges of theft and forgery.

Hyatt did not have an attorney listed in online court records. He could not be reached. A Dec. 27 preliminary hearing is set.