BRAMPTON A Peel Regional Police officer facing 46 fraud and breach of trust charges in relation to a large-scale insurance scam won the lottery after he was arrested.

Const. Carlton Watson, 50, who is suspended with pay pending the outcome of his trial which is ongoing this week in Brampton court, said his dreams came true when he won $275,000 in the March 12, 2012 Daily Keno draw.

A quarter million dollars richer, Watson told OLG staff he "feels wonderful" as he claimed his prize.

The winning ticket was purchased at Central Parkway KF Fair near the city centre.

With his criminal trial pending, Watson said at the time he planned to use his windfall towards his children's education and other financial obligations.

About a year before winning Keno, Watson was arrested following an internal investigation by Peel Police.

Watson's defence lawyer, Susan Jane von Achten, told The News Tuesday night the lottery win came well after her client's arrest and has nothing to do with the case.

Watson, 50, a 21-year veteran of the force, faces 46 charges, including multiple counts of fraud, obstructing justice, uttering forged documents and breach of trust, in connection with the nine insurance claims dating back to 2010.

Watson has been suspended with pay since he was arrested in the spring of 2011 following an investigation by the force's Internal Affairs Bureau.

OLG spokesperson Tony Bitonti said essentially, there is nothing stopping someone accused or convicted of criminal wrongdoing of claiming a lottery prize.

"If you are the legitimate owner of that ticket, we'll pay you that prize," Bitonti told The News.

The OLG has a "prize claim review process" for winners only to determine if they are the legitimate owner of the ticket. Staff also checks the winner's name with the provincial government's Family Responsibility Office, which collects, distributes and enforces court-ordered child and spousal support, in case there are payments owing , Bitonti said. If the winner owes money in taxes, that is handled by the Canada Revenue Agency, Bitonti said.

It's Crown prosecutor John Scott's case that Watson provided accident reports that passed off staged or bogus car crashes as legitimate ones as part of a scam that bilked insurance companies out of nearly $1 million.

Court heard the Insurance Bureau of Canada was also involved in the probe into the nine motor vehicle collisions that occurred in 2010.

In testimony last week, Michael Lake, an investigator with the Insurance Bureau whose focus is on "organized crime rings involved in insurance fraud," said several people claiming to be involved in each of the crashes, many of which occurred in Brampton, pursued claims for accident benefits, including property damage claims, vehicle loss, physiotherapy and child care claims.

It's alleged the fraud involved the staging of motor vehicle collisions followed by insurance claims for damaged vehicles and injuries sustained during the impact.

Several different insurance companies were defrauded, police said.

Scott said the fraudulent claims total just under $1 million and Watson provided what's known as "Motor Vehicle Accident reports" detailing information about the crashes and facilitated the reporting of the accidents as legitimate collisions.

Insurance claims were made for vehicle damage and injuries to the drivers and passengers, court heard, with insurers paying out settlements after the accidents.

The trial has heard from drivers and passengers involved in the scam.

Kevin Clarke of Brampton was involved in an accident back in February 2010.

The married father of two was alone in his car when he skidded and broke the front axle on his 1999 Pontiac Grand Am. But, when the tow truck company he contacted showed up, the driver told him that in order for his insurance company to cover the crash damage, he would have to lie and say three other people, including his wife, were in the car at the time.

Loading... Loading... Loading... Loading... Loading... Loading...

Even though Clarke never called police, the tow truck driver got him to sign a police-issued motor vehicle accident report listing Watson as the investigating officer, showing Clarke had sustained serious injuries in the crash. The document also showed the accident occurring at another location, Clarke said.

While Clarke admitted during cross examination by defence lawyer Susan Jane von Achten that he realized he was lying and possibly participating in something fraudulent, he said he simply wanted to get his car fixed. Insurance covered the repair of the car and Clarke's wife was also given $1,300 in accident benefits.

Also arrested in connection with the offences is Atlantic Collision Group tow truck driver Wayne Isaacs, 49, of Brampton. He was charged with defrauding the public and his case is before the courts.