Following a two-week trial, members of a jury in southern Illinois returned guilty verdicts on multiple federal fraud charges against the owner/CEO and a former executive of a health insurance telemarketing company based in South Florida.
The jury convicted 39 y/o Steven Dorfman and 49 y/o John A. Sand from Fort Lauderdale, Florida on one count of conspiracy to commit mail and wire fraud, four counts of mail fraud and eight counts of wire fraud.
Dorfman was the owner and CEO of Simple Health, which was previously known as Heath Benefits One, Sand served as the company's vice president of sales. According to court documents and evidence presented during the trial, Simple Health employees were trained to use deceptive sales tactics to scam people into purchasing limited indemnity insurance plans.
These plans provide relatively low amounts of coverage for medical expenses. When the polices' low caps were reached, the consumers were then responsible for paying 100% of their medical expenses above those caps.
Dorfman's sentencing hearing is scheduled for 10:30 on May 21. Sand will be sentenced at 10:30 on May 22.
