- Attorney General Paula T. Dow and Acting
Insurance Fraud Prosecutor Ronald Chillemi
announced that a former New York City insurance
producer pleaded guilty today to defrauding
three insurance companies in a life insurance
to Acting Insurance Fraud Prosecutor Chillemi,
Pape Michael Seck, 41, formerly of Jersey
City, pleaded guilty before Superior Court
Judge Patrick J. Arre in Hudson County to
an Accusation which charged him with second-degree
insurance fraud and two counts of second-degree
theft by deception.
Arre scheduled sentencing for Dec. 2. Under
the plea agreement, the state will recommend
that Seck be sentenced to seven years in
pleading guilty, Seck, who was an insurance
producer formerly licensed in New York and
New Jersey, admitted that between November
12, 2006 and June 4, 2008, he knowingly
made fraudulent or misleading statements
including fraudulent pedigree, financial
and medical documentation in support of
seven life insurance policy applications.
The applications were for three $3 million
ING/ReliaStar Life Insurance Company/Security
Life of Denver Insurance Company (“ING”)
life insurance policies, two $7 million
ING life insurance policies, a $5 million
MetLife life insurance policy and a $5 million
Union Central Life Insurance Company life
insurance policy for an individual named
also admitted that between May 17, 2007
and June 20, 2007, he fraudulently obtained
property from ING in the form of commissions
on the $7 million life insurance policy.
Seck fraudulently obtained $280,230 in commissions
for this policy.
Seck admitted that between October 16, 2007
and December 4, 2007, he fraudulently obtained
property from Miller & Schrader, P.A.
in the form of a $61,898 premium reimbursement
and a $150,000 unsecured loan on the $5
million MetLife life insurance policy.
June 7, 2010, Seck was sentenced to three
years in state prison, ordered to forfeit
his New Jersey insurance producer’s
license and ordered to pay a $10,000 civil
insurance fraud fine. The sentence was based
on Seck’s April 12, 2010 guilty plea
to an Accusation charging him with two counts
of second-degree insurance fraud. In that
case, Seck admitted that between May 22,
2008 and July 27, 2009, he submitted applications
containing fraudulent information to Prudential
Life Insurance Company and Aviva Life Insurance
Company for $7 million life insurance policies.
Department of Banking and Insurance routinely
assists the Office of the Insurance Fraud
Prosecutor with the investigation and prosecution
of licensed insurance producers. This assistance
enables the state to coordinate criminal
investigations and prosecutions with the
imposition of licensing sanctions in order
to protect the public.
L. Cross, Deputy Attorney General Nicole
D. Rizzolo and Deputy Chief Counsel Norma
R. Evans were assigned to the investigation
of this case. Rizzolo represented the State
at the guilty plea hearing. Acting Insurance
Fraud Prosecutor Chillemi thanked ING, MetLIfe,
Union Central Life Insurance Company, SSA-OIG,
U.S. Immigration and Customs Enforcement,
MVC, the United States Department of State,
the United States Visa Office and the State
of New York Insurance Department for their
assistance in the investigation.
is Insurance Fraud Awareness Month in New
Jersey. Acting Insurance Fraud Prosecutor
Chillemi noted that some important cases
have started with anonymous tips. People
who are concerned about insurance cheating
and have information about a fraud can report
it anonymously by calling the toll-free
hotline at 1-877-55-FRAUD,
or visiting the Web site at www.NJInsurancefraud.org.
State regulations permit a reward to be
paid to an eligible person who provides
information that leads to an arrest, prosecution
and conviction for insurance fraud.