A former vice president at Rhode Island’s Beacon Mutual Insurance Co. was arraigned last Thursday on charges of conspiracy and insurance fraud.
David Clark, 57, was indicted last month as part of a state grand jury investigation into questionable business practices at Rhode Island’s dominant workers compensation insurer. He pleaded not guilty and was released on $10,000 personal recognizance, said defense lawyer Thomas Briody.
A company-funded audit in April revealed Beacon gave improper discounts to several large companies and maintained inappropriate relationships with some insurance agents. Clark, the vice president for loss prevention and underwriting, and chief executive Joseph Solomon were fired after the report was released.
No other Beacon officials have been charged, though the indictment refers to an unnamed co-conspirator who is also alleged to have committed insurance fraud.
Attorney General Patrick Lynch says the investigation is ongoing.
Was this article valuable?
Here are more articles you may enjoy.
Texans Hate Data Centers So Much They Are Asking Jesus for Help 
NY Lawmakers Agree to Governor’s Auto Insurance Reforms in New Budget 
USI Insurance Services Claims Ex-Broker Poached Clients for Own New Agency 
JPMorgan Banker Sues Ex-Colleague Over ‘Fabricated’ Sex Claims 
