Politician Sentenced for Insurance Fraud

George Guldi, a former legislator in Suffolk County, N.Y. was sentenced this week to one to three years in prison for insurance fraud.

A 12-member jury last week found Guldi guilty of forging the endorsement of Countrywide Home Loans on an $863,000 insurance check paid out by AIG subsidiary American International Insurance Company after a fire destroyed his Westhampton Beach home. Rather than place the claims check into escrow, Guldi placed the proceeds into his own bank account.

Guldi also received three to nine years in prison for grand larceny. Since the sentences will be served consecutively, he faces between four and 12 years of prison time. Pending a restitution hearing, Guldi, an attorney who represented himself at trial, may also have to pay $863,000 in restitution.