Downey Insurance Broker Booked for Grand Theft

Insurance broker, Prakash Akatrai, aka Peter Akatrai, surrendered himself at the Downey, Calif., Police Station and was booked on six counts of felony grand theft by embezzlement, according to the California Department of Insurance. Akatrai allegedly issued a false certificate of insurance after receiving premium funds, among other alleged crimes.

According to CDI investigators, from October 2005 to March 2006, Akatrai, owner of Friends Insurance Services Inc., located in Downey, collected not less than $5,292.99 from six victims for commercial general liability insurance. Akatrai’s submitted applications for five of his victims to insurance companies and policies were issued. However, he did not send the required down payments, resulting in cancellation of all five policies.

Another broker, representing the insurance companies, made several attempts to collect the earned premium payments from Akatrai. Akatrai eventually sent the payments for four of his victims, although four to six months after the policies canceled. Akatrai accepted one victim’s down payment in November 2005, but never submitted an application or the down payment to any insurance company. Instead, he issued her a bogus certificate of insurance to make it appear that her business was insured. Akatrai refunded her payment in August 2006

CDI action against Akatrai’s license is pending.

The alleged crime is a violation of 487(a) P.C. If convicted, Akatrai is facing a maximum of three years in prison. The investigation was conducted by the California Department of Insurance (CDI) Investigation Division and is being prosecuted by the San Bernardino County District Attorney’s Office. His bail amount was set at $50,000. Akatrai’s date of arraignment is pending.

Source: CDI