Newspaper article The Florida Times Union

Man Pleads Guilty in Wire Fraud; the Alabama Insurance Agent Is Accused of Not Paying Claims

Newspaper article The Florida Times Union

Man Pleads Guilty in Wire Fraud; the Alabama Insurance Agent Is Accused of Not Paying Claims

Article excerpt

An Alabama insurance agent pleaded guilty Wednesday to taking part in a scam that sold bogus workers compensation insurance to businesses in Jacksonville and the Southeast.

Peter A. Thosteson, 66, of Dothan, Ala., could face up to five years in federal prison after pleading to a single charge of conspiracy to commit wire fraud, according to a news release by the U.S. Attorney's Office.

In court papers, prosecutors said Thosteson was president of two companies known as professional employer organizations, businesses that other companies paid to provide insurance and other human resource services on their behalf. Thosteson's companies used insurance from foreign firms that weren't licensed to insure American workers and never paid any claims, prosecutors argued.

Prosecutors said Thosteson's companies, Alarre Partners Inc. and TMG Staffing Services Inc., promised insurance to employers in Florida, Georgia, Alabama and Tennessee.

An owner of two foreign insurance firms prosecutors said Thosteson used, Thomas E. Brown of Mission Viejo, Calif., pleaded guilty to conspiracy and wire fraud in Jacksonville last year.

Steve Patterson

EDENFIELD ATTORNEYS WANT CASE CLOSED TO PUBLIC

Attorneys for a convicted child molester charged with the sexual abuse slaying of a Glynn County, Ga., boy want court hearings about potential evidence closed to the public.

George D. Edenfield, along with his parents, David H. Edenfield and Peggy C. Edenfield, faces the death penalty if convicted of the malice murder of 6-year-old Christopher Michael Barrios Jr.

All have pleaded not guilty and will be tried separately. They remain jailed without bail while awaiting trial.

Superior Court Judge Stephen Scarlett will begin hearing motions starting Monday in Brunswick.

District Attorney Stephen Kelley said hearings should remain open. …

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