Question regarding a Phone reported lost of stolen.

[illmatic636]

I have a friend that messed up his Droid X to the point where it would only boot up to bootloader screen. He panicked because he could not fix it and called Verizon to get it replaced. He reported it lost. He recently offered me the phone and I was able to reflash the Full sbf for the Droid x and get it back to life. I called Verizon to see about transferring my # to it, and they said that it is on a list of lost or stolen phones. They advise me to call the owner and have him call in and say that he found the phone in order for me to be able to use it.
Now, my question is, will the insurance company that he filed the claim ask him to send the phone back now that he found it? If he calls in and says he found it and gave it away, will the FBI CIA or any other State or Govt official visit him at his house? lol

Thanks for any input you may have.

 

[Backnblack]

Discussions of insurance fraud are not allowed here on DF.