From Deseret News archives:
Ex-insurance agency owner jailed for racketeering
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Assistant Utah Attorney General Shelley Coudreaut told Atherton that state investigators have been able to identify at least 60 individuals or companies who were defrauded by Timothy some of them on multiple occasions and they still receive phone calls from potential victims weekly. She confirmed that Timothy issued refund checks to some of those victims, but noted that he only did so once the state investigation began.
Coudreaut accused Timothy of trying to minimize the severity and extent of his crimes, adding that the state stopped counting the number of felonies they could charge him with at 156.
Coudreaut also defended deals the state made with other agents at Service Insurance of Vernal.
DeLand had asked Atherton to consider "equality" when sentencing Timothy, noting that agency co-owner Mark Foley received a suspended prison sentence and probation; agent Bart Winterton was allowed to enter into a plea in abeyance; and office manager Debra A. Wilson was not prosecuted under a deal with the attorney general's office.
Winterton pleaded guilty to forgery in October for signing a client's name to a insurance policy application. The charge against Winterton which will be dismissed if he complies with the terms of his plea in abeyance agreement sprang from a separate state investigation. He has never been tied to any of Timothy's activities.
Wilson's attorney claimed that a state investigator offered his client immunity if she agreed to provide prosecutors with information about Timothy and Foley. Coudreaut said that although only a prosecutor can make an offer of immunity, she felt ethically obligated not to charge Wilson based on the defense attorney's claim.
Coudreaut said that Timothy's "level of criminal activity and the number of victims" made his offenses more severe than those of the other defendants and therefore warranted incarceration. She added that Timothy's misconduct had been going on for more than a decade, although state law only allowed her to prosecute him for offenses committed within the past five years.
"I don't believe he's been forthright with investigators," the prosecutor said.
After court, Coudreaut said the state is interested in hearing from anyone who suspects they may have been victimized by Timothy. Those individuals should contact state insurance investigator Rick Angel at 801-526-4559.
For his part, DeLand said state investigators in many cases "just look at the books and assume the worst." He also accused the state of "beating the bushes" in the Uintah Basin "soliciting victims" in the case against Timothy.
"I had hoped that there wouldn't be any disparity between the sentences (for Timothy and the other defendants)," the defense attorney said, "but there certainly was."
E-mail: geoff@ubstandard.com
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