A Baltimore City police officer was sentenced to 45 days in jail followed by 18 months of probation and 200 hours of community service for assaulting a man in police custody and then hindering the internal affairs investigation into the incident.
BALTIMORE - ABC2 News Investigators first told you about the missing money trail involving companies owned by well-known Baltimore insurance pitchman Hal Katz. And now we're learning more about his troubles and getting reaction from a Katz business partner who's now feeling the pain.
Following our ABC2 News investigation, we were contacted by Gordy Bunch, who according to Maryland state records, owns half the stock in Interstate Auto Insurance Company, Inc., one of Hal Katz's three companies. In a phone interview, Bunch indicates he paid $1-million dollars in June for the stake in Interstate, saying he had no idea the provider was unstable. Bunch tells ABC2 he is "horribly disappointed" and calling Katz, "the Maryland Madoff".
Katz, known for his outrageous commercials, is at the center of an investigation by the Maryland Insurance Administration. His license was suspended in August after the agency found he had engaged in fraudulent or dishonest practices in the insurance business.
State records indicate Katz owns not only the Katz Insurance Agency, but is also the 50-percent owner of Interstate, the insurance provider. Bunch, a 40-year-old Coast Guard veteran, says he had no idea the company was insolvent when his company, the Woodlands Financial Group made the purchase. TWFG, according to Bunch, is a national company with more than $200 million in premium sales. Bunch claims the financials he saw for Interstate were a fraud.
The Maryland Insurance Administration found fraud too, discovering nearly $800,000 that should have gone between the Katz Insurance Agency and Interstate, was never moved. Bunch believes the total of missing money is actually even higher. He tells ABC2 the company hasn't been paid any premiums from the Katz Insurance Agency for 2012 and believes Interstate is owed more than $1.9 million based on his calculations.
ABC2 made calls to every Katz location today and foundat least two of the eight offices are still open. As required by a state order, the shuttered locations post notices on their doors providing policy holders with phone numbers to contact. The operational locations are running as part of a state receivership agreement developed earlier this month.
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Before you hear former Baltimore Police officer Teresa Rigby detail the accident that ended her career, dispatch tapes take us back through the response to the crash.