News: 2009 Press Release
For Release: October 9, 2009
Media Calls Only: 916-492-3566
Insurance Commissioner Poizner Announces Former San Diego Resident Sentenced to Jail, Ordered to Pay $100,000 Restitution to Senior Victims
Insurance Commissioner Steve Poizner announced today that former insurance agent and San Diego County resident Lynn Flanagan, 60, was sentenced to serve 180 days in jail and pay more than $100,000 in restitution for stealing from clients.
"It never pays to steal money from clients," said Commissioner Poizner. "In fact, breaking the law and your customers' trust will only result in a one way ticket to jail, fines and a criminal record. CDI investigators will continue to diligently pursue any criminals who think they are above the law."
According to investigators, between April 2004 and March 2005, Flanagan collected $102,452.89 from four clients, three of whom were senior citizens. Flanagan issued phony insurance documents to the clients, leading them to believe they had legitimate annuities. The clients subsequently discovered the investment company never received their money. A review of bank records showed the funds received from clients were placed in Flanagan's bank account and never remitted to the company.
On April 20, 2007, an arrest warrant was issued for Flanagan. In July 2009, Flanagan was located in
, extradited back to
and booked in county jail. On August 19, 2009, Flanagan pled guilty in San Diego Superior Court to two felonies - grand theft from an elder and residential burglary. Flanagan was sentenced on September 21, 2009.
This case was prosecuted by the San Diego County District Attorney's Office.
Commissioner Poizner oversees sixteen CDI Enforcement Branch regional offices throughout the state. Close to 1900 insurance fraud-related arrests have been made by the Department of Insurance's enforcement division since Commissioner Poizner took office in 2007 - more arrests than have been made during any other two year period, under any previous insurance commissioner.
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