Insurance department left red faced after would-be commissioner walks free

With 108 charges dropped, ex-defendant accuses department of retaliation for his complaints about the department’s handling of insurance regulation

Insurance News

By

by Michael Mata

Months after an investigation conducted by the North Carolina Department of Insurance (NCDOI) put a Charlotte contractor behind bars, prosecutors have dropped every charge.

In June 2014, Ronald Leonard Pierce was charged with 108 counts of obtaining property by false pretense. He was arrested and jailed on a $540,000 bond. Pierce was accused of pocketing more than $450,000 in insurance claims by inflating hail damage repair estimates.

"People who fraudulently file insurance claims and receive compensation from insurance companies affect what we all pay for our insurance," stated Marni Schribman, who was a spokeswoman for the NCDOI in 2014.

However, in April 2015, the Mecklenburg County District Attorney's Office dropped all charges against Pierce.

"After careful review of the case, prosecutors dismissed the charges due to insufficient evidence to prove the defendant's guilt beyond a reasonable doubt," said Meghan McDonald, a spokeswoman for the district attorney. "The charges arose from the deposit of checks into Pierce's business account without the proper signatures of the insured and/or the mortgage company. However, these monies would have been, in fact, legitimately paid to Pierce's companies for the work rendered, making it a significant challenge to prove any fraudulent intent."

In February 2016, Pierce filed a federal lawsuit against NCDOI officials, including Insurance Commissioner Wayne Goodwin. Pierce told local media outlets he believes the case was brought against him because he’d been critical of how the NCDOI was regulating the insurance industry.    
"They're using that office to punish individuals who stand up against them," Pierce alleges.

While all 108 charges have been dropped, Pierce says the damage has already been done, as his professional reputation has been tarnished by the criminal charges.  

Pierce ran for insurance commissioner this year, but lost in the Republican primary. He plans to run again in 2020.
 

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