La. Producer Accused of Pocketing Insurance Premiums

April 27, 2006

A Lake Charles, La., insurance producer was ordered to cease and desist operating in the business of insurance and received a summary suspension of his licenses for allegedly misappropriating insurance premium payments.

Louisiana Department of Insurance Fraud Unit investigators served Darren Shawn Gaspard with the C&D order and summary suspension. They also suspended the licenses of GMA Agencies Inc., of which he is sole owner and president.

Gaspard allegedly failed to remit to insurance companies over $50,000 in premiums for at least six different policies for commercial and/or homeowners insurance coverage.

The current action results after the Department of Insurance received numerous complaints following Hurricane Rita from consumers who discovered they did not have coverage when they filed damage claims with their insurance companies.

In addition, Gaspard is alleged to have submitted false and/or fraudulent information to the Department of Insurance in regard to the complaints against him and GMA Agencies Inc.

Department of Insurance records list the business address of GMA Agencies Inc., as 1634 Ryan Street, Lake Charles, and Gaspard’s residence address as 2325 Barbe St., Lake Charles.

Records show Gaspard held a Property/Casualty license from June 1991 until the current action. He previously held a Life, Health and Accident license from May 1990 until the present; and a Variable Annuity license from February 1992 until May 2000.

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