Former Progressive claims adjuster in Maryland convicted of theft

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A former licensed insurance agent, working as a claims adjuster for Progressive Insurance Co., will spend the next two years on probation after his conviction on a felony theft charge.

Chae Hyong Chu, 40, of Gaithersburg, Md., was spared a five-year prison sentence by a Montgomery County Circuit Court judge, but must also complete 50 hours of community service, according to the Maryland Attorney General’s Office.

From May 2005 through September 2007, Chu issued six checks from Progressive to himself or his wife, totaling $39,113, officials said. He then deposited the checks into his personal bank accounts, according to officials.

Chu, who has made full restitution, admitted that he issued and endorsed all six checks and that his wife was unaware checks had been issued in her name, presecutors said.

In addition to the attorney general’s office, the investigation of theft charges was aided by the Insurance Fraud Division of the Maryland Insurance Administration and Maryland State Police.

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