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News: 2012 Press Release
For Release: March 26, 2012
Media Calls Only: 916-492-3566
Insurance Commissioner Dave Jones Announces Arrest of Redlands Agent for Premium Theft
Agent alleged to have embezzled $400,000 in premiums
Insurance Commissioner Dave Jones today announced that Charles Nelson Boyd, 67, of Redlands, has been arrested on one felony count for violating Penal Code Section 508, Embezzlement by an agent, and one felony count for violating Penal Code Section 487 (a), Grand Theft. Boyd was booked into the West Valley Detention Center in Rancho Cucamonga and his bail has been set at $250,000.
In April 2010, the California Department of Insurance (CDI), Investigation Division, received a complaint alleging that Boyd had failed to remit premiums to an insurance company. Boyd, who was doing business as Consumer Driven Benefits Association (CDBA), was engaged in the sale of limited medical insurance and medical discount plans.
The investigation revealed that Boyd had collected premiums from multiple individuals and enrolled them in a group insurance policy. He then issued membership packages which included a certificate of insurance. The insurance company cancelled the group policy because Boyd failed to comply with the guidelines set forth by the company. Once Boyd learned from the insurer that coverage was being cancelled, he withheld payment and failed to remit over $400,000 in premiums.
The San Bernardino County District Attorney's Office is prosecuting the case. The Department has issued an order suspending Boyd's insurance license.
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