Robert Lee Altmann, 67, of Morgantown, West Virginia, is headed to federal prison after admitting to a calculated bank fraud scheme that ripped off his own employer’s clients for personal gain. The former insurance agent was sentenced to twelve months and one day behind bars, closing the book on a fraud operation that exploited trust and financial vulnerability.
Altmann, once licensed to sell insurance, twisted his professional role into a vehicle for theft. Using a fictitious company, he convinced clients of his employer to switch policies, promising cheaper premiums and better coverage. Instead of securing real insurance, Altmann pocketed their payments—both initial funds and recurring premiums—funneling the cash into his personal living expenses.
The scam unraveled when clients began filing claims that couldn’t be honored. With no actual policies in place, victims were left exposed and out thousands of dollars. The West Virginia Insurance Commission Office of Inspector General launched an investigation, uncovering a paper trail of false documents and diverted funds directly tied to Altmann’s accounts.
U.S. Attorney William J. Ihlenfeld, II, confirmed the prosecution, emphasizing that betraying client trust for personal profit won’t be tolerated. “This wasn’t a mistake—it was a deliberate fraud,” Ihlenfeld said. “Altmann exploited his position to line his pockets while leaving people at risk and in financial distress.”
Assistant U.S. Attorney Andrew R. Cogar handled the case, building a straightforward but damning case that led to Altmann’s conviction. U.S. District Judge Irene M. Keeley, presiding over the sentencing in Clarksburg, handed down the 12-month-and-one-day sentence, a term that ensures Altmann will be eligible for certain federal prison programs.
The case serves as a stark reminder that financial predators often wear professional masks. For the victims, justice may have arrived, but the damage lingers. Altmann now faces a year in federal custody, followed by supervised release, and will be required to make full restitution—all consequences for a fraud built on lies and betrayal.
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Key Facts
- State: West Virginia
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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