2 Mar 2005

New Zealanders allegedly sold bogus American Samoan insurance in US

2:15 pm on 2 March 2005

There is concern in American Samoa that two New Zealanders have used the name of a local company to sell bogus commercial auto insurance in the US state of Georgia.

It is being alleged that the two collected nearly three million US dollars in premiums over the past two and half years on policies they sold to 150 companies in Georgia.

However, the premiums were never passed on to Solofa Insurance and they had no contract to represent the Pago Pago-based insurance company.

One of the New Zealanders is reported to be in police custody.