A former Melbourne insurance intermediary has been sentenced to 21 months jail, fully suspended, and fined $10,000 after dishonestly using more than $130,000 of insurance premiums for his own purposes.
Kalman Gradman pleaded guilty to two charges in court after an Australian Securities and Investments Commission (ASIC) investigation found he had obtained insurance premiums from his clients, or insurance premium funders, but did not pass them on to the relevant insurer.
This meant Gradman’s clients believed they had insurance cover when they did not.
A further charge involved Gradman dishonestly obtaining $3,933 in insurance premium funding by falsely claiming that his company, Gradman Insurance, had taken out insurance when this was not the case.
He also traded under the name Icon Insurance Agencies.
ASIC has permanently banned Gradman from providing financial services.
