Former Winnipeg insurance broker faces 23 fraud charges

A former Winnipeg insurance broker is facing 23 fraud-related charges for allegedly defrauding as many as 25 clients of almost $1.5 million.

Gary Palmer, 61, was independently contracted with Great-West Life.

Winnipeg police say the criminal charges follow an internal investigation by the insurance company.

Police allege that between 1998 and this year, an insurance broker presenting himself as a financial advisor convinced a number of people to make withdrawals from their current investment accounts on the premise of transferring the funds to new products.

According to police, the suspect deposited the money into his business account and used it for his own personal use.

Sgt. Len Terlinski said Monday that the accused was able to win the trust of his alleged victims.

"Well, we always look at a fraud and think of how could people have invested in somebody without really doing their homework," Terlinski said.

"But on the other hand, this was a person they trusted and they'd known for some time."

Police say the matter came to light when a client received a tax bill for the withdrawals.

They continue to investigate and say additional charges may be laid if more alleged victims come forward.

Palmer is to appear in court in late December.

Meanwhile, former clients have filed two lawsuits against Palmer and Great-West Life.