| FOR IMMEDIATE RELEASE: October 20, 2000 |
FOR FURTHER INFORMATION CONTACT: Paul Loriquet (609) 292-4791 |
TRENTON - Attorney General John J. Farmer, Jr. today announced that a former insurance agency owner was sentenced, following his earlier guilty plea to Theft and Falsifying Records, related to defrauding a former insurance client of more than $16,000 for a non renewed insurance policy.
The Attorney General said that Richard Leavitt, 45, of East Brunswick, Middlesex County, had been charged in a nine count State Grand Jury indictment charging him with Theft by Deception, Misapplication of Entrusted Property, both in the third degree, and seven counts of Falsification of insurance related records. The indictment had been filed by the Division of Criminal Justice's Office of Insurance Fraud Prosecutor on April 25, 2000.
On August 25, 2000, Leavitt pleaded guilty to third degree Theft of $16,924 and one count of fourth-degree Falsifying Records.
At the guilty plea hearing, Leavitt admitted to Somerset County Superior Court Judge Victor Ashrafi that on various dates between August 1995 and February 1997, he collected $16,924 in auto insurance premiums from an insurance client, Atlantic Sports Management, Inc. Leavitt admitted he collected the premiums for coverage of seven vehicles which were purportedly insured by New Hampshire Insurance Company even though Leavitt knew the insurance policy had been non-renewed by New Hampshire Insurance Company as of August 10, 1995. Leavitt kept the $16,924 in insurance premium money and used it for his own personal expenses.
Leavitt also admitted to falsifying an automobile insurance identification card as part of the theft scheme.
Leavitt, a licensed insurance agent, operated the R&A Insurance Agency which was formerly located in Somerville. He had his insurance agent's license revoked on May 15, 1996, by virtue of a consent order with the then Department of Insurance for violating several provisions of the insurance laws pertaining to the licensing of insurance agents. Judge Ashrafi sentenced Leavitt to three years of probation. In addition, Leavitt was ordered to pay restitution of $16,924, consented to a Consent Order of a $5,000 civil fine and 50 hours of community service.
The State of New Jersey was represented at the sentencing hearing by Deputy Attorney General Jeffrey D. Catrambone of the Office of Insurance Fraud Prosecutor.