Kennesaw Insurance Exec Admits $4.5 Million In Thefts, Fraud

MARIETTA, GA -- The owner of a Kennesaw insurance firm has pleaded guilty to theft and insurance premium fraud and been ordered to pay more than $4.5 million in restitution. James Russell Wiley, 53, of Acworth admitted in court Tuesday morning that between 2014 and 2016, his company, American Underwriting Services, collected commercial trucking insurance premiums under contract with ProSight Specialty Management Co. but kept millions of dollars in excess commission that Wiley converted to his own use.

After a civil judgment was imposed, Wiley continued underwriting commercial trucking policies under contract with American Southern Insurance Company, collecting full annual premiums but again converted that money to his business operations and personal use.

“Mr. Wiley treated premiums as if they were assets of the company, instead of funds held in trust for someone else. Hubris and temptation led to bad results,” said Sr. ADA Jason Marbutt, who prosecuted the case.

After accepting the plea, Cobb Superior Court Judge Stephen Schuster sentenced Wiley to 10 years, with two years to serve in custody and the balance on probation. Wiley was also ordered to pay total restitution of more than $4.5 million to ProSight and American Southern.

Wiley surrendered his insurance license over the summer.

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