GANGS who stage car crashes to cash in on other motorists are not operating in Nelson, police said.

Officers have moved to reassure people there was not a problem with people having accidents' in the town after Pendle councillor and peer, Lord Tony Greaves said his daughter had been the victim of a crash for cash' con.

The accidents mainly involve fraudsters performing unexpected, unnecessary or dangerous emergency stops designed to cause innocent members of the public to crash into them.

An insurance claim is then made, including several accounts of fictitious injuries. Last month Blackburn was named as the most common place in the country for the scam with 1,710 accidents' taking place since 1999.

In his weekly column in the Lancashire Telegraph last week Lord Greaves told how his daughter, Heather, was driving round the roundabout at junction 13 of the M65, near to Nelson and Colne College, when a car with two men inside suddenly stopped in front of her. However, she managed not crash into the car.

Lord Greaves said the men then drove round the roundabout again past where the incident had happened.

Inspector Russ Procter of Nelson police said he was aware of the incident but reassured people it was an isolated event.

He said: "I know it has been an issue in the north west before, especially in Blackburn, but we have not had a series of these.

"We just want to make people aware so they are not caught up in anything.

"But if anyone does see anything, they should get the registration number or the make of car and report it to police we will investigate it."

According to the Insurance Fraud Bureau (IFB) successful scams can net criminals up to £30,000.

The IFB said there was increasing evidence the money was used to fund other serious and organised crime like drug trafficking.

The IFB also estimated that fraudulent claims add around five per cent to the premiums paid by the honest public.

Anyone wanting to report an incident should contact police on 01282 425001.