Fraud Roundup

Former Oklahoma Insurance Agent Sentenced

A former Bixby, Okla., insurance agent has been sentenced to 10 months home confinement after pleading guilty to wire fraud that allowed him to illegally take commissions earned by other insurance agents, the Oklahoma Insurance Department (OID) announced.

Christopher M. Bland, 36, was indicted on 14 counts of wire fraud, 12 counts of making false statements to a financial institution and six counts of aggravated identity theft. As part of a plea agreement, he pleaded guilty to one count of wire fraud.

Bland, who owned and managed Business Consultants of South Tulsa, admitted to a scheme to defraud Colonial Life & Accident Insurance Co. and various insurance agents in his offices. He admitted opening bank accounts for agents without their permission, forging their signatures then taking their commissions.

Bland was sentenced to five years of probation and ordered to pay $15,197 in restitution and a $5,000 fine. Bland is also expected to perform 80 hours of community service.

6 Plead Guilty in Louisiana Auto Accident Insurance Fraud Scheme

Six defendants in a case involving an automobile accident insurance fraud scheme in Louisiana have pleaded guilty, U.S. Attorney Stephanie A. Finley announced.

Pleading guilty to fraud charges were:

• Bobby Lee Kimble, 42, of Athens, La., – conspiracy, wire fraud and health care fraud;
• Joe Abbott, 54, of Arcadia, La., – conspiracy, mail fraud and health care fraud;
• Marcus Kimble, 30, of Arcadia, La., – conspiracy, wire fraud and health care fraud;
• Damario Henderson, 29, of Homer, La., – conspiracy and health care fraud;
• Monica Jenkins, 25, of Athens, La., – conspiracy, mail fraud and health care fraud; and
• Larry Kimble, 33, of Athens, La., – conspiracy and wire fraud.

Federal officials said defendants staged and fabricated automobile accidents, and submitted fraudulent claims to insurance companies for bodily injury and property damage.

The “Kimble Ring,” which was composed of family, friends and associates, staged accidents including two-automobile rear-end collisions, single automobile collisions with trees, and false hit and run claims. False claims were filed for accidents in Bienville Parish, Ruston, La., Athens, La., and Claiborne Parish between December 2007 and March 2008, the U.S Attorney’s Office said.

Conspirators face up to five years in prison and three years of supervised release for conspiracy to commit fraud. They face 10 years in prison and three years of supervised release for health care fraud, up to 20 years in prison and three years’ supervised release for wire fraud, and up to 20 years in prison and two years’ supervised release for mail fraud.

The charges also each carry a $250,000 fine and restitution.

The Louisiana State Police investigated the case; Assistant U.S. Attorney Earl M. Campbell prosecuted.

Former Texas Insurance Agent Convicted

A former Denton County, Texas, insurance agent has been convicted in an insurance fraud scheme that targeted elderly individuals, according to U.S. Attorney Sarah R. Saldana of the Northern District of Texas.

A federal jury convicted Vincent Bazemore, 39, formerly of Aubrey, Texas, on all counts of an indictment charging four counts of mail fraud related to a scheme he ran to defraud various life insurance companies.

Bazemore is currently in federal custody, serving a five-year sentence on a federal securities fraud conviction in the district in 2009. He faces a maximum statutory penalty of 20 years in federal prison, a $250,000 fine and restitution on each of the four counts of conviction.

The Texas Department of Insurance revoked Bazemore’s life, health and accident insurance license in October 2008.

The government said that between October 2007 and April 2009, Bazemore obtained commissions by inducing life insurance companies to issue policies on applications of mostly elderly individuals who appeared to be wealthy and seeking insurance for estate planning purposes. The applicants actually were not wealthy and the policies were intended to be transferred to investors.

Bazemore prepared applications and related documents that contained forged signatures and falsified financial information, which he submitted life insurance companies, according to the federal attorney’s office.

Agreements Bazemore had with insurance companies and managing agents provided that he would receive, for each policy issued on an application he submitted, a commission of 95 to 105 percent of the first year’s premium paid on the policy, federal officials said.

The case was investigated by the FBI and prosecuted by Assistant U.S. Attorneys Christopher Stokes and P.J. Meitl.

Topics USA Texas Louisiana