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SGI broker costs Saskatchewan taxpayers $26,000 by misappropriating sales

November 8th, 2016  |  News

A rogue broker has done some serious damage to one of Saskatchewan’s largest insurance institutions.

According to CBC News, this broker kept over $108,000 in sales from insurance premiums and fees that were earned while it was contracted by Saskatchewan Government Insurance. The provincial crown corporation was able to salvage roughly $80,000 of the misappropriated funds by selling the business to another company, but close to $27,000 was lost.

The broker had been selling home and vehicle insurance for SGI. Formed in 1945 under Tommy Douglas’s socialist government, the public organization operates various insurance ventures, including a compulsory auto insurance program called the Saskatchewan Auto Fund.

SGI hasn’t released an official statement but it did tell CBC News that “it will do a better job following-up on overdue accounts.”