Insurance Broker Ordered To Pay More Than $600,000 In Misused Funds

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G4S Compliance & Investigations (G4S) and a global insurance client are proud to announce the arrest and conviction of an Arizona Insurance Broker in the Maricopa County Arizona Criminal Court Superior Division for fraudulent schemes and theft for failing to forward funds from his clients’ insurance installment payments. On May 27, 2011, Scott Helmer pled guilty to 11 counts of Fraudulent Schemes and 9 counts of theft (Case #CR2011-005544-001). According to court documents, he was sentenced to probation in September 2011, fined $18,400, ordered to pay $615,354.91 to fifteen different companies in which he did not forward their funds and ordered to pay $3,600 in probation costs.

This conviction shows that Agent/Broker Fraud will not be tolerated for those who attempt to deceive and commit criminal acts against their insurance companies,” said Michael Malone, President of G4S Compliance.

G4S Compliance & Investigations (G4S) and a global insurance client are proud to announce the arrest and conviction of an Arizona Insurance Broker for fraudulent schemes and theft for failing to forward funds from his clients’ insurance installment payments.

A Florida-based company filed a consumer complaint against Helmer Risk Management, LLC because their environmental insurance policy was cancelled (Maricopa County AZ - Criminal Court Superior Division, Case #CR2011-005544-001). According to the case, the company claimed they made their insurance installment payments to a funding corporation, and the funding corporation sent the funds to Helmer Risk Management. Helmer Risk Management allegedly did not forward the premium funds to the intermediary for coverage. A similar complaint was also filed by a company out of Iowa after receiving a cancellation notification for their policy. In the same criminal court case, the Iowa company insisted they paid their appropriate installments, but again, Helmer Risk Management allegedly did not forward the payments to the intermediary or the insurance company as required. Amid accusations, Helmer Risk Management filed Chapter 11 bankruptcy.

After careful review of the complaints, the global insurance client contacted G4S to conduct an in-depth investigation that found suspicious activity. Interviews were conducted with various parties involved which confirmed the investigation’s findings. After verification, G4S filed a state fraud referral with the Arizona Department of Insurance, where Helmer Risk Management is located, prompting them to prosecute. G4S then notified Iowa and Florida’s Department of Insurance, where the complaints were filed.

On May 27, 2011, Scott Helmer pled guilty in the Maricopa County Arizona Criminal Court Superior Division to 11 counts of Fraudulent Schemes and 9 counts of theft. According to court documents, he was sentenced to probation in September 2011, fined $18,400, ordered to pay $615,354.91 to fifteen different companies in which he did not forward their funds and ordered to pay $3,600 in probation costs.

“This conviction shows that Agent/Broker Fraud will not be tolerated for those who attempt to deceive and commit criminal acts against their insurance companies,” said Michael Malone, President of G4S Compliance & Investigations. “We are very pleased to have been able to assist a global insurance client in bringing justice against those who try to take advantage of our hard working, innocent business owners and clients.”

For more details contact:
Amy Ricciuti
Director of Marketing and Communications
G4S Compliance & Investigations
800.927.0456 ext. 2217
http://www.g4s.us/investigations
About G4S Compliance & Investigations
G4S Compliance & Investigations is a global provider of enterprise investigation management solutions. Our value added solutions include: Insurance, Commercial and Government Risk Solutions. G4S offers a unique combination of best-in-class investigation experts, compliance and technology to provide users with customized investigation solutions uniquely tailored to meet their needs. For more information visit: http://www.g4s.us/investigations.

G4S is the world's leading security solutions group, which specializes in outsourcing of business processes in sectors where security and safety risks are considered a strategic threat.

G4S is the largest employer quoted on the London Stock Exchange and has an additional stock exchange listing in Copenhagen.

G4S has operations in more than 120 countries and around 640,000 employees. For more information on G4S, visit http://www.g4s.com

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Amy Ricciuti
G4S
(800) 927-0456
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