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Alberta insurance broker charged in $500K fraud scheme

Close-up of assorted Canadian paper currency. File Photo

An insurance broker has been charged for a $500,000 fraudulent scheme that dates back to 2008, Lethbridge police said Thursday.

Police received a report of fraudulent activity at Schwartz Reliance Insurance Brokers in October 2016 after a staff member found discrepancies in accounts managed by one of the partners.

“Investigation determined that between January 2008 and September 2016, the partner had created fake accounts and altered existing accounts in order to generate higher commissions for his own personal gain,” police said in a Thursday statement.

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The estimated cost to the business was just over $541,300, police said.

“No clients were directly impacted or suffered any losses as a result of this crime,” police said.

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The partner has since been fired.

Stephan James Evanson, 36, of Stirling has been charged with fraud over $5,000 along with money laundering.

Police said Evanson was released from custody with conditions that he “not attend the business or have any contact with employees.”

He is set to appear in court March 27.

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