Florida Man Creates Fake Insurance Company; Bilks Carrier Out Of "Hundreds of Thousands of Dollars"

From the Pensacola News-Journal on 4/29/13:

Cantonment insurance agent arrested for alleged fraud

Written by Eric Heisig

A Cantonment insurance agent was arrested late Sunday for creating a fake employment company to write fraudulent life insurance policies and profit off of them, authorities said.

Randall Peterson, 47, wrote 285 fake policies with American National Insurance Co., according to the state Chief Financial Officer’s office. The fake company, College Consultants of the Gulf Coast, tried to get individuals to attend employment seminars in Florida, Georgia and Mississippi and have them apply for life-insurance policies, the release says.

American National Insurance Company paid Petersen hundreds of thousands of dollars in commissions and bonuses, the news release says, and the fraud became apparent when the policies were canceled for nonpayment.

Petersen, arrested Sunday, is in the Escambia County Jail, being held on a $30,000 bond. He is charged with insurance fraud, grand theft and criminal use of personal identification, among other charges.

Investigators are still looking into his actions, and the outcome may affect his insurance license, the release says.