Ville Platte Agent Arrested and Served with Summary Suspension, Cease and Desist Order, Fine Notice and Notice of Proposed Revocation

A Ville Platte agent was arrested by the Louisiana State Police Insurance Fraud/Auto Theft Unit and served by Department of Insurance Fraud Section Investigators with a summary suspension, cease and desist order, fine notice and notice of proposed revocation on January 25 for alleged misappropriation of insurance premiums.

John Melvin Lavergne, 65, was arrested by Louisiana State Police on seven counts of Prohibited Acts and Unfair Trade Practices and served by the Department of Insurance Fraud Section Investigators with a summary suspension of his license, a cease and desist order, a $4,500 fine notice and notice of proposed license revocation for alleged misappropriation of insurance premiums.

It is alleged that Lavergne failed to remit over $1,160 in premiums to insurance companies which resulted in four of his clients having their insurance policies cancelled due to non-payment of premiums.

Department records show that Lavergne was issued a Property and Casualty license in April 1977, which expired in April 2010. He has 30 days from time of service to request an administrative appeal or the above actions will become final.

Commissioner Donelon urges consumers who feel uneasy about any insurance related transaction to call the Department of Insurance Fraud Section at 225-342-4956 or 1-800-259-5300. If callers do not want their names used, they can request that their involvement be kept confidential.