New Jersey Attorney General Peter Harvey announced that a Monmouth County insurance agent has pleaded guilty to theft charges for stealing more than $43,000 in insurance sales commissions to which he was not entitled.
According to Vaughn McKoy, director, Division of Criminal Justice and Insurance Fraud Prosecutor Greta Gooden Brown, Ralph Malek, aka Raafat Abdel Malek, 29, of Farmingdale, Monmouth County, pleaded guilty before Monmouth County Superior Court Judge Bette Uhrmacher to a criminal Accusation which charged third degree theft by deception. A third degree crime carries a sentence of up to five years in state prison and a fine of up to $15,000. The case has been referred to the New Jersey Department of Banking and Insurance, the agency which licenses insurance agents, for action with respect to Malek’s insurance agent license. Malek is scheduled to appear before Judge Uhrmacher on Dec. 17 for sentencing.
In pleading guilty, Malek, reportedly admitted that between Aug. 23, 1999 – July 5, 2000, he stole $43,648 from Fidelity and Guaranty Life Insurance Company, Baltimore, Md.
Malek admitted that he submitted an annuity insurance application under an assumed name to the Fidelity and Guaranty Life Insurance Company. Together with the application, Malek submitted a fraudulent $87,500 check drawn on a bank account of a business Malek formerly owned known as Contaldo’s Specialties. Fidelity and Guaranty Life Insurance advanced Malek $7,875 in insurance agent commissions.
It was charged that Malek, using the same scheme, submitted a second fraudulent annuity application to Fidelity and Guaranty Life Insurance using the name of a second fictitious applicant. Malek paid for the insurance premium with a fraudulent check in the amount of $436,487, drafted on the business account of L.R. Food Deli Inc., which was another business formerly operated by Malek. That check and a replacement check from a third business formerly operated by Malek were fraudulent. Fidelity and Guaranty Life Insurance advanced Malek an insurance agent sales commission of $35,773.
In total, Malek reportedly stole $43,648 from Fidelity and Guaranty Life Insurance Company by sending worthless insurance premium checks and insurance applications containing fraudulent information in order to receive insurance sales commissions to which he was not entitled.
Topics Fraud Agencies New Jersey
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