Former insurance agent Eugene Shy-Ren Hsu, 31, of West Covina, Calif., was arrested by Department of Insurance officers and charged with multiple felony counts.
The charges include grand theft, forgery, and identity theft for allegedly using another agent’s identity to obtain a credit card and purchase life insurance policies without consumers’ knowledge, which netted him thousands of dollars in commissions.
“It is inconceivable that a former agent whose license was already revoked by my office would go to such lengths to game the system for his personal gain. I will not tolerate deceitful actions that smear the reputation of honest agents and brokers,” Insurance Commissioner Dave Jones said in a statement.
An investigation led by CDI revealed that Hsu, owner and operator of NCP Insurance Center, allegedly stole the identity of an unsuspecting licensed California insurance agent who applied for a job with Hsu. Hsu allegedly stole the licensed agent’s Department of Insurance identity in order to write several life insurance policies without the agent’s knowledge.
As a result, Hsu reportedly collected more than $16,000 in fraudulent commissions on policies issued between June 25, 2010 and Oct. 19, 2010. The individuals named on the life insurance applications had no idea a life insurance policy was purchased in their name. In addition, the investigation determined that Hsu used the licensed agent’s identity to obtain a credit card with GE Money Bank and charged close to $4,000 in insurance premium charges to keep his scheme going and continue collecting commissions.
CDI is asking anyone who responded to a job posting on Craigslist.org from Hsu with NCP Insurance or purchased insurance from the suspect to check their credit report for unusual activity and confirm with their insurance company the validity of any policies.
Hsu is being prosecuted by the Los Angeles County District Attorney’s office with bail set at $70,000 and faces a maximum of three years in prison if found guilty on all counts.
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