Insurer Accused Owner of Drowned Bugatti of Fraud

HOUSTON (AP) – The insurer of a $1.2 million sports car that plunged into a Galveston Bay lagoon two years ago is accusing the owner of driving into the marsh deliberately to collect on a $2.2 million insurance policy. A lawsuit filed by Philadelphia Indemnity Insurance Co. is pending against Lufkin auto dealer Andy House in federal court in Galveston. The insurer accuses House of intentionally driving his Bugatti Veyron EB into 3 feet of salt water in La Marque, 36 miles southeast of Houston. The lawsuit also alleges House ran the car engine for 15 minutes after the November 2009 splashdown, damaging the 1,000-horsepower engine. House told police the car capable of reaching 253 mph traveled into the lagoon when he swerved to avoid a seagull.