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Justice News

Department of Justice
U.S. Attorney’s Office
Eastern District of Pennsylvania

FOR IMMEDIATE RELEASE
Tuesday, April 12, 2016

Florida Man Charged With Insurance Fraud Violations

PHILADELPHIA – Samuel Mangel, 53, of Boca Raton, Florida, was charged by indictment, unsealed today, in an insurance fraud scheme, announced United States Attorney Zane David Memeger. Mangel is charged with wire fraud relating to the sale of life insurance policies and engaging in the business of insurance after having been convicted of a felony involving dishonesty.  

The indictment alleges that Mangel ran businesses in Jenkintown, Pennsylvania, that brokered the sale of life insurance policies and that were involved in the business of issuing insurance policies.  The indictment alleges that, in brokering the sale of the life insurance policies, Mangel falsely represented to the sellers of the policies the full commissions and full amounts that the buyers agreed to pay and that Mangel falsified records to hide the additional payments by the buyers.  As the broker, Mangel received the full commission payments, which were supposed to be used, in part, to pay the other agents. The indictment also alleges that Mangel, after having been convicted of a criminal felony involving dishonesty, illegally engaged in the business of insurance in the issuance of $7.5 million of life insurance policies.

If convicted of all charges, Mangel faces a statutory maximum term of 85 years in prison, mandatory restitution, a possible fine, a period of supervised release, and forfeiture may be ordered.

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Sarah L. Grieb.

                                                                             

Indictments are accusations.  A defendant is presumed innocent unless and until proven guilty.

Topic: 
Financial Fraud
Updated April 12, 2016