A Los Angeles man was arrested in New Orleans for selling fraudulent workers’ compensation and employers liability insurance policies throughout Louisiana, Attorney General Buddy Caldwell announced.
Terry Francis Savoy, 50, is charged with five counts of theft by means of fraudulent conduct, four counts of forgery, seven counts of forgery of certificates of insurance, and six counts of illegal transmission of monetary funds.
The arrest is the result of a joint investigation involving the Attorney General’s Investigations Division, Orleans Parish District Attorney’s Office, Houma Police Department, Los Angeles County Sheriff’s Department Fraud and Cyber Crimes Bureau, and CNA Insurance Security Fraud Division.
The AG’s office alleges that Savoy, operating under the business known as NTRUST Financial, would contract with small healthcare provider businesses to handle these companies’ payroll. He traveled to Louisiana and sold fraudulent insurance policies to these companies. He would then have the victims wire money to California in order to purchase the fraudulent policies, investigators said. Thousands of dollars were stolen in the scam.
Victims were not provided with original insurance documents or monthly premium statements. Savoy provided them instead with a fraudulent fact sheet of the policy and a fraudulent bank letter of credit, the AG’s office said.
Savoy was arrested in Los Angeles on May 2 and extradited to New Orleans on Aug. 15. He was arrested on outstanding warrants for violations that occurred in the parishes of Orleans, Terrebonne, Ouachita and Bossier. Savoy was booked in the Orleans Parish Prison.
The Attorney General’s Office is continuing to identify other potential victims. Anyone who purchased a workers’ compensation and employers liability insurance policy from Savoy and did not receive the actual policy or premiums is asked to call (225) 326-6100 or (504) 471-2863.
Source: Louisiana Attorney General’s Office