A federal jury has convicted a politically connected insurance tycoon of embezzling more than $20 million from his own insurance brokerage firm. Michael Segal was found guilty on all charges: mail fraud, wire fraud, making false statements, embezzlement, tax conspiracy and racketeering. He faces at least 20 years in prison. Segal’s company, Near North Insurance Brokerage Inc., also was convicted on charges including mail fraud and embezzlement. A jury will decide how much money Segal must turn over to the government. “I’m disappointed but I’m holding up,” the 61-year-old Segal said. Prosecutors said Segal took money from a restricted account and spent it on a lavish lifestyle and expanding his business. Assistant U.S. Attorney Virginia Kendall said the money came from a premium fund account that Segal was required to hold in trust for customers. Prosecutors also said Segal kept a VIP list of customers, including politicians and prominent Chicago business people, who would receive insurance discounts—some of 100 percent, a practice barred by law. The defense said Segal was a victim of shoddy accounting practices and scheming underlings who were motivated by greed and vengeance.
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