The former owner of a Falls, Pa., insurance agency and one of his employees have pleaded guilty to helping New York City drivers cheat auto insurers out of $500,000 by giving them fake Pennsylvania licenses.

Michael Bozzi, 47, and Josh Green, 30, both of Morrisville, Pa., pleaded guilty to charges of theft, insurance fraud and related charges in a Bucks County court, according to the Doylestown (Pa.) Intelligencer.

The pair will be sentenced within 60 days and could serve more than one year in prison.

Bozzi, a licensed insurance broker and the former owner of Bucks County Insurance in Falls, Pa., admitted that he devised the rate-evasion plan allowing more than 300 New Yorkers to pay $1,500 for policies that would have cost them $4,000 if they used their actual addresses, according to the report.

The state attorney general’s insurance fraud section also estimates that insurance companies paid out more than $35,000 in claims submitted by these drivers from January 2005 until September 2006.

Another man allegedly tied to the scheme, Alex Bien-Aime, 57, of Brooklyn, N.Y., stands trial next month on charges that he brought clients to Bozzi and Green and posted fliers around Brooklyn promising cheap cars and auto insurance. Bien-Aime allegedly sold vehicles to individuals, then secured Pennsylvania policies for the owners, the report said.

Serge Jeanty, 37, of Jamaica, N.Y., who drove Bien-Aime back and forth to and from New York and assisted him in running the scam, pleaded guilty Wednesday and was sentenced to three years of probation and 50 hours of community service, the Intelligencer reported.