Former Rigby city councilman sentenced for insurance fraud

Lawrence Reid Blackburn, a former Rigby City councilman and insurance agent, was sentenced Nov. 18 for insurance fraud, Attorney General Lawrence Wasden said. Seventh District Judge Gregory Moeller sentenced Blackburn to up to 12 years in prison.

The court suspended the prison sentence, ordered Blackburn to serve 150 days in the Jefferson County Jail and placed him on probation for 10 years. In addition, the court ordered Blackburn to pay $30,000 in restitution, a $1,000 fine, do 100 hours of community and reimburse $600 in expenses to the public defender.

The Attorney General established that in Blackburn’s application for an annuity for his elderly client he knowingly and falsely represented that he was her son and her only remaining heir. On Sept. 16, 2013, Blackburn pleaded guilty to insurance fraud by entering an “Alford plea,” thereby admitting that the state has enough evidence that a jury would likely find him guilty.

The case was investigated by the Idaho Department of Insurance and prosecuted by Deputy Attorney General Ken Robins of the Attorney General’s Insurance Crimes Unit.

–release from Attorney General’s office

 

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