Denham Springs Agent and Agency Issued Cease and
Desist Orders, License Revocations and Fine Notices Yesterday
March 26, 2010
Denham Springs agent and her agency were served by Department
of Insurance Fraud Section Investigators yesterday with cease and
desist orders, license revocations and fine notices for alleged
misrepresentation and forgery.
Michelle Schulin Paul (40) and her agency, The Reed Agency, Inc.,
were both served on March 25 by the Department of Insurance
Fraud Section Investigators with cease and desist orders,
and $58,000 fine notices each.
Paul is alleged to have fraudulently signed contracts to obtain
premium financing for various companies and submitted those
a premium finance company between October 2008 and July 2009.
Using the finance company’s check writing authority, Paul wrote
and signed at least 38 different checks payable to The Reed Agency,
for a total amount of approximately $462,453. The checks were written
to The Reed Agency, Inc. under the pretext that the agency would
then make the various payments to different insurance companies
for the policies that were the subject of the premium finance agreements,
however neither Paul nor The Reed Agency, Inc. made any payments
with the funds to any insurance company.
Department records show that Michelle Schulin Paul was issued
an Accident and Health license and a Life Insurance license
in May 1996
which expired in April 2004, and a Property and Casualty
license in March 1996 which will be revoked 30 days from
time of notice.
Records show that The Reed Agency, Inc., of which Paul
is the sole owner and registered agent, was issued a Property
in March 2002, which will also be revoked 30 days from
Paul has 30 days from the time of notice to file a written
demand for an administrative hearing to contest the regulatory
taken against her and her agency by the Department of Insurance.
Commissioner Donelon urges consumers who feel uneasy about
any insurance related transaction to call the Department
at 225-342-4956 or 1-800-259-5300. If callers do not
want their names used, they can request that their involvement