News: 2008 Press Release

SACRAMENTO - Insurance Commissioner Steve Poizner today announced the conviction and sentencing of former insurance broker-agent Alfred Fontanilla Abad, 65, of Lakewood, on one felony count of grand theft and one felony count of attempted bribery of an executive officer. 

"As the state's leading consumer advocate, I will not tolerate theft of insurance premiums or attempts to bribe our investigators," said Commissioner Poizner.  "I want to continue to send the message to criminals and those contemplating insurance scams that we will pursue you, we will find you and you will pay the consequences."

Abad pled guilty to both changes in Los Angeles Superior Court and was sentenced to 3 years formal probation, 270 days of electronic monitoring and ordered to perform 120 hours of community service.  Additionally, Mr. Abad was ordered to pay full restitution in the amount of $17,829.75.

According to California Department of Insurance (CDI) investigators, a commercial business client of Abad's paid him approximately $14,000 in 2005 for its' professional and liability insurance overage. The business was a personnel temp agency and the owner had been a long time client of Abad's. After not receiving a policy and getting the run around from Abad when she questioned him about not receiving her policy, the victim contacted the insurance company that Abad had placed her coverage with in the past.

The insurance company representative told the victim that there was not a policy in force for her business.  When she again contacted Abad and continued to get the run around, she went to his office and he told her that he had not placed the insurance. She complained to the insurance company who then filed a complaint with CDI.

During the course of the investigation, Abad confessed to the CDI investigator that he did not forward the insurance premiums to the insurance company, but instead kept the funds. During Abad's confession to the investigator, he offered the investigator a portion of anticipated future commissions if the investigator could "make this case go away".

This case was prosecuted by the Los Angeles County District Attorney's Office.