Not all life insurance agents are created equal, some like to go veer from the path of integrity and take advantage of unsuspecting clients, who truly need their help. A report from InsuranceNewsNet.com has revealed just what could happen to unscrupulous life insurance agents and the repercussions that can follow.
A North Dakota insurance agent is facing multiple felonies and jail time after he allegedly swindled a client’s money in order to pay off his credit card and purchase gold coins.
The 54-year-old Dickinson, N.D. insurance agent Scott Biggs allegedly withdrew $30,000 from a client’s trust account without the client’s knowledge or consent on Sept. 11, 2009.
Red flags were raised after Biggs told his client that the IRS had frozen his accounts when he attempted to withdraw money from them. In addition, Biggs also refused to provide documentation of the IRS’ involvement.
Officials reported that Biggs is accused of issuing two cashier’s checks from the client’s savings account, in which the first check was for $23,522 to pay Biggs’ credit card. The second check was written for $5,805, which was used to purchase three gold coins.
Biggs has been charged with four Class B felonies, which each carrying a penalty of up to 10 years of jail time and a $10,000 fine. He was also charged with on Class C felony that can result in five years in prison and a $5,000 fine.
The client’s identity is being withheld.
The Southwest District Judge Zane Anderson prohibited Biggs from conducting insurance business and must get a court approval to leave the state.