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Former South Carolina Representative convicted on insurance fraud

21 July 2010 327 views No Comment

COLUMBIA, SOUTH CAROLINA (BNO NEWS) – A former South Carolina Representative was convicted on Wednesday of mail fraud related to an insurance premium fraud, prosecutors announced.

Robert A. Kohn, 65, of Charleston, South Carolina, was an insurance consultant who periodically assisted companies with workers’ compensation matters. Among Kohn’s clients were Knight’s Services, a Charleston-based company overseen by Roy Knight which performed pipe fitting and welding jobs at Detyens Shipyards.

Between 2002 and 2004, Kohn helped to prepare Knight’s annual insurance submissions to Companion Property & Casualty Insurance Company. The premiums charged to Knight’s Services for this coverage were based on the company’s payroll.

Kohn and Knight modified the payroll figures to obtain lower premiums for the company. Knight has previously pleaded guilty to similar charges. Over three years, Kohn saved Knight approximately $370,000 in premiums.

The fraud was discovered when a Knight’s Services worker, Matthew Williamson, died while performing work at the shipyard. The following worker’s compensation claim and scrutiny of the policy led to the criminal charges against Kohn and Knight.

Kohn’s sentence will be imposed at a later date yet to be determined. The maximum penalty he could receive is 20 years in prison and a fine of up to $250,000.

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