View this article online: https://www.claimsjournal.com/news/east/2006/02/27/65962.htm
New Jersey Division of Criminal Justice Director Gregory Paw reported that the president of a Middlesex County insurance agency has been sentenced to three years in state prison after pleading guilty to stealing more than $474,000 in premium finance monies intended as payment to agency clients.
According to Insurance Fraud Prosecutor Greta Gooden Brown, Rodger Strandskov, 53, of Princeton, Mercer County, was sentenced by Middlesex County Superior Court Judge Frederick DeVesa to three years in state prison and ordered to pay more than $612,000 in fines and restitution.
Strandskov pleaded guilty on Oct. 7 to a criminal Accusation. In pleading guilty, Strandskov reportedly admitted that while president of Eastern Insurance Agency, located in Kendall Park, Middlesex County, he stole more than $1 million in premium finance money, failed to remit the funds to insurance companies, and used the monies for his own purposes. Strandskov repaid $500,000 of the stolen funds prior to pleading guilty.
At the guilty plea hearing before Judge DeVesa, Strandskov reportedly admitted stealing approximately $474,200 from or due to the AMGRO Premium Finance Company. The funds were intended as payment for insurance policies sold through the Eastern Insurance Agency. Insurance premium financing occurs when an insurance customer, in this case commercial trucking companies, borrows money from a lender to purchase required commercial insurance.
The Office of Insurance Fraud Prosecutor determined that Strandskov failed to return more than $134,500 in borrowed premiums from 14 insurance customers whose policies had been prematurely terminated and that another dozen customers’ policies were terminated as a result of non-payment of premiums.