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Atkinson brothers indicted in US Fidelis case

9:16 PM, Jun 15, 2011   |    comments
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  • Darain Atkinson
  • Cory Atkinson
    

Jefferson City, MO (KSDK) - A grand jury in St. Charles County handed down an indictment against the two brothers who owned and operated US Fidelis for alleged illegal business practices, Missouri Attorney General Chris Koster said Wednesday.

Darain Atkinson was indicted on 14 counts and Cory Atkinson was indicted on 13 counts, ranging from unlawful merchandising practices, stealing and insurance fraud.

US Fidelis, formerly known as National Auto Warranty Servies, did business under the name "Dealer Services."

The indictments allege the Atkinsons and their company sold vehicle repair coverage under both vehicle extended service contracts and contracts associated with various vehicle products. The brothers are accused of keeping customer refunds, charging excessive fees, and telling consumers they would receive a pro-rated refund if they cancelled a contract but intended to keep part of any refund.

The Atkinsons are also accused of telling customers that all vehicle repairs were covered and concealed from consumers the fact that coverage contained liability limits and other conditions and exclusions from coverage.

Both brothers have prior offenses on their records. Darain Atkinson was convicted in 1986 of theft, forgery and burglary in Kansas, and convicted in 1987 of manufacturing counterfeit Federal Reserve Notes in Kansas. Cory Atkinson was convicted of felony criminal trespass in Colorado in 1997.

If convicted, Darain Atkinson faces up to life imprisonment, due to his prior felon status. Meanwhile, Cory Atkinson faces up to 15 years in prison if convicted on the most serious count.

KSDK

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