News: 2012 Press Release
For Release: September 7, 2012
Media Calls Only: 916-492-3566
Insurance Commissioner Dave Jones Announces Arrest of Former Life Agent for Grand Theft; Embezzlement
Oceanside Agent allegedly Defrauded Homeowners
Insurance Commissioner Dave Jones today announced that Howard Thomas Jackson, 59, of Oceanside, has been arrested on six felony counts of grand theft, embezzlement, and theft of fiduciary funds. Additionally, Jackson faces special allegations related to the fraud scheme which mandate state prison terms, penalties, fines and restitution. If convicted on all counts, Jackson could face a minimum of three to five years in State Prison.
According to Investigators from the California Department of Insurance (CDI), Investigations Division, on or about August 15, 2011, CDI received a complaint from a victim alleging Jackson had embezzled over $80,000 in insurance premiums intended for the purchase of a life insurance policy and investment. An investigation revealed that Jackson had diverted funds without the consent or knowledge from multiple victims totaling over $300,000.
Jackson's scheme allegedly involved convincing the victims to refinance their homes and put the proceeds from the refinance into whole life insurance policies and an investment company associated with Jackson. Two victims in San Diego County gave Jackson the proceeds from their refinanced mortgages to pay the premiums of the life insurance policies and investments they believed they were buying. According to Investigators, Jackson would instead only pay the first-year premiums on the policies, and use the remainder of his victim's money for his personal and business expenses. The victims also made monthly payments to Jackson and believed the payments would be used to pay for additional investments. However, as with the money from the proceeds of the mortgage refinances, Investigators found that Jackson allegedly used the monthly payments to pay for his personal and business expenses.
The Investigation Division, Criminal Operations - Point of Sale [C.O.P.S.] Unit investigated this case. The San Diego County District Attorney's Office is prosecuting.
Jackson's license as a Property Broker-Agent and Casualty Broker-Agent expired on December 31, 1995 and his license as a Life-Only and Accident and Health agent expired on March 31, 2009.
This case was investigated and prosecuted under the Life and Annuity Consumer Protection Program (LACPP). Clients of Jackson who believe they may have been victimized should contact Supervising Criminal Investigator Kevin Oden (909) 919-2239.
Please visit the Department of Insurance Web site at www.insurance.ca.gov. Non media inquiries should be directed to the Consumer Hotline at 800.927.HELP. Callers from out of state, please dial 213.897.8921. Telecommunications Devices for the Deaf (TDD), please dial 800.482.4833.
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