Illinois Insurance Agency Owner Faces More Charges In $800K Fraud

Rockford Register Star (IL)

Aug. 23--ROCKFORD -- A federal grand jury today brought additional felony fraud charges against a Rockford man who is accused of swindling more than 100 clients of more than $800,000 through his insurance-related businesses.

Todd J. Fendler, 41, was charged with one count of mail fraud and one count of wire fraud on Feb. 28 and later pleaded not guilty to those charges. A superseding indictment filed today charged Fendler with 19 counts of wire fraud and one charge of mail fraud.

His businesses included Surplus Market Solutions, Northern Underwriting Managers Inc. and Northern Illinois Insurance Agency, all located in Rockford.

The indictment alleges that from June 2014 through February of this year, Fendler obtained bank account information from businesses and individuals who had applied for insurance policies through his companies, and then used that information to electronically withdraw funds from those businesses and individuals without their knowledge or permission. It is further alleged that Fendler created fictitious checks purportedly issued by the insurance applicants and deposited the fake checks into bank accounts that he controlled.

Fendler is presumed innocent and the charges against him are not evidence of guilt. Each count carries a maximum penalty of 20 years in prison, and a maximum fine of $250,000. An arraignment on the superseding indictment has yet to be scheduled.

The superseding indictment was announced by Joel R. Levin, acting U.S. Attorney for the Northern District of Illinois, and E. C. Woodson, inspector-in-charge of the U.S. Postal Inspection Service in Chicago. The government is being represented by Assistant U.S. Attorney John G. McKenzie.