Calif. Agent Pleads Guilty to 7 Counts of Grand Theft
A West Covina insurance agent has pleaded guilty to seven counts of grand theft after an investigation by the California Department of Insurance (CDI) Investigation Division.
Sepideh Khou, 45, was sentenced earlier this month to 280 days in Los Angeles County jail, 70 days of manual labor, and ordered to pay restitution in the amount of $65,824 for his crimes – primarily the theft of premiums. Of the restitution, $10,000 will go to CDI for reimbursement of investigation costs. The case was prosecuted by the Los Angeles City Attorney’s Consumer Protection Section.
According to investigators, Khou, who owned and operated an agency called PCI Insurance Agency Inc., failed to place coverage for his clients despite receiving their premium payments. He also submitted phony premium finance applications to various premium finance companies on behalf of policyholders without their knowledge. The illegal acts took place between June 2001 and September 2003.
The investigation of Khou, who pled guilty Nov. 4, remains open.
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