INSURANCE AGENT CHARGED WITH DEFRAUDING BUSINESS OWNERS OUT OF MORE THAN $2.5 MILLION IN INSURANCE PREMIUMS

OCDASeal

Orange County District Attorney
Press Release


Tony Rackauckas, District Attorney
401 Civic Center Drive West
Santa Ana, CA 92701

For Immediate Release
Case # 08CF1235

 


April 23, 2008

Susan Kang Schroeder
Public Affairs Counsel
Office: 714-347-8408
Cell: 714-292-2718

Farrah Emami
Spokesperson
Office: 714-347-8405
Cell: 714-323-4486

INSURANCE AGENT CHARGED WITH DEFRAUDING BUSINESS OWNERS OUT OF MORE THAN
$2.5 MILLION IN INSURANCE PREMIUMS

*Defendant also charged with failing to file $230,000 in tax returns

 

SANTA ANA – An insurance agent was arrested today for defrauding 18 business owners by stealing more than $2.5 million in money they had paid him to take out insurance policies for their businesses. Anthony David Medina, 36, was charged yesterday with 153 felony counts including 86 counts of forgery, 33 counts of transacting as an insurance company without a certificate of authority, 19 counts of grand theft, five counts of filing false tax returns, four counts of willfully failing to file a tax return, four counts of identity theft, two counts of insurance fraud, and sentencing enhancement allegations for excessive taking over $50,000 and $150,000.  Medina was arrested today at a business in Oxnard and is being held on $2,936,000 bail. In order to post bond he must prove that the money is from a legitimate source. Medina faces a maximum sentence of 54 years and four months in state prison if convicted on all counts.

 

Medina’s wife, Vanessa Chaverri, 36, arrested today at a Ladera Ranch home, is charged with five felony counts of filing a false return. She is being held on $436,000 and must prove the money is from a legitimate source before posting bail. Chaverri faces a maximum sentence of six years in state prison if convicted.

 

Medina and Chaverri are expected to be arraigned Thursday, April 24, 2008 at the Central Justice Center, Santa Ana.

 

Between June 2003 and November 2007, Medina is accused of operating Prompt Insurance Agency in Newport Beach. The defendant is accused of collecting more than $2.5 million from 18 business owners, including restaurants, plumbing and painting businesses, and other service oriented businesses. Medina is accused of taking money from the businesses under the pretense of securing workers compensation and general liability insurance policies for them.

 

Medina is accused of failing to take out insurance policies for many of the businesses and charging the victims more than the stated premiums. In some instances he is accused of forging documents to finance insurance policy premiums instead of paying the full amount up front to the insurance company, despite the fact that the victims had paid him the total cost of the policy premium.

 

Medina is accused of issuing false certificates of insurance to some of his victims. The defendant is accused of creating false policy numbers or giving companies policy numbers that actually belonged to other businesses.