Former Insurance Agent Sentenced For Fraud
MADISON, WIS. --John W. Vaudreuil, United States Attorney for the Western District of Wisconsin, announced that Suzanne Gannon-Anderson, 52, Prairie du Chien, Wis., was sentenced today by Chief U.S. District Judge William M. Conley to 18 months in federal prison, to be followed by three years of supervised release, for her conviction of wire fraud. On November 7, 2012, a grand jury in Madison returned a six-count indictment alleging separate wire fraud transactions from November 2007 through January 2008. On April 9, 2013 Gannon-Anderson pleaded guilty to one of the wire fraud counts.
Gannon- Anderson was the owner of SGA Insurance Services in Dodgeville and operated as an independent insurance agent securing renewable term property and casualty insurance coverage for clients through various insurance companies. As part of her fraud scheme, Gannon-Anderson represented to SGA customers and premium finance companies that she would pay the insurance premiums she received from customers, or on behalf of customers from premium finance companies, to the insurers for their insurance coverage, but instead deposited premiums into her personal operating account, converted the premiums to her own use, and failed to pay the premiums to the insurers or their brokers on behalf of the customers as promised.
In some instances, Gannon-Anderson double-financed the insurance coverage, keeping loan proceeds of the second loan for her own use. On some occasions, Gannon-Anderson even obtained loans from the premium finance companies for non-existent customers.
In May 2007, Gannon-Anderson sold her insurance agency to Associated Insurance Agency of McFarland. When Gannon-Anderson’s fraudulent loan activity was discovered in early 2008, Associated Insurance attempted to make lenders, brokers and clients of SGA whole, suffering losses in the process. As a further part of her sentence, Gannon-Anderson was ordered to make restitution to AIA in the amount of $259,392.14.
The charges against Suzanne Gannon-Anderson were the result of an investigation conducted by the U.S. Postal Inspection Service. The prosecution of the case was handled by Assistant U.S. Attorney Robert A. Anderson.