Woman sentenced for fraud in El Dorado, other counties | TahoeDailyTribune.com

Woman sentenced for fraud in El Dorado, other counties

Tribune staff reports

A 51-year-old woman was sentenced to three years and four months in state prison after being found guilty of forgery and identity theft across 13 counties, including El Dorado County.

Magaly Morales, 51, committed crimes that created more than $100,000 in losses, according to a California Department of Insurance press release.

Morales was arrested in December on multiple felony counts for submitting 299 fraudulent applications and collecting more than $230,000 in advanced commissions, the press release stated.

As a license insurance agent for Great American Life Insurance Company, Morales gained access to policyholders' data from 2009 to 2011 and used her authority as an agent to steal information from school district employees in the 13 counties, the press release read. Using the stolen identities, Morales submitted annuity applications to Insurance Company of the Southwest and received advanced commissions on annuity policies for people who had no idea they owned such policies.

Because of the identified criminal activity, the victims did not have to pay any premiums for the fraudulent policies, according to the press release.

"Licensed agents and brokers have a fiduciary responsibility to their clients and the companies they represent," Insurance Commissioner Dave Jones said in the press release. "When someone violates that trust, like Morales did by stealing people's identities, it erodes consumer confidence."