Friday, December 2, 2005

Insurance Executive Sentenced to Ten Years for Fraud

Michael Segal was convicted in 2004 of fraud, embezzlement, and racketeering for using his insurance firm, Near North Insurance Brokerage, to bilk clients to support a lavish lifestyle.  At his sentencing in the U.S. District Court for the Northern District of Illinois, Segal protested to the he had never stolen a dime in his life, and that if he had kept better records and had a better attorney he would have been acquitted of the charges.  In response, U.S. District Judge Ruben Castillo stated, ""Even if Abe Lincoln and Clarence Darrow came back from the dead to represent you, they wouldn't have saved you."  The judge then found that while Segal was involved in a $30 million fraud, the actual loss to customers was only $1.5 million, after which he sentenced Segal to a 121-month term of imprisonment.  A Chicago Tribune story (here) discusses the sentencing.

http://lawprofessors.typepad.com/whitecollarcrime_blog/2005/12/insurance_execu.html

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