Connecticut Golf Contest Regulator Fines Insurer $ 6 million

 

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5 January 2009 Monday 05:20 PM EST

454 words


Connecticut Golf Contest Regulator Fines Insurer $ 6 million

Chad Hemenway

HARTFORD. Conn



The Connecticut Insurance Department has levied one of its largest fines against a man they say operated two insurance companies that provided coverage for hole-in-one golf contest and other sporting events, without a license.

Connecticut Insurance Commissioner Thomas R. Sullivan was fined Norwalk, Connecticut resident Kevin Kolenda nearly $ 6 million and urged residents of the state that have been "deceived by Mr. Kolenda and sham organizations" to contact his office.

According to the orders of the insurance department, Kolenda was exploiting Hole-in-One and Golf Marketing Worldwide world without a license. Golf Marketing Worldwide has offices in Rye, NY and Hoboken, NJ, according to the order.

Businesses would have provided businesses and organizations that offer cheap prices to golf and other sports events against the risk that someone will win the prize. Kolenda business "after the payment of a fee, has agreed to provide coverage for contests and the developer to repay the money spent by sponsors for the prizes awarded to participants who have completed a specific task, as a hole-in -a golf Kolenda reads the complaint against the Department of Insurance.

Kolenda have never paid $ 40,000 earned by a participant in a golf tournament last year in September sponsored by the City of Lock detachment of the Marine Corps League. The golfer stroking a hole-in-one, and Kolenda notified the league, but he has "failed and refused" to pay, the insurance service said. Kolenda have also tried to change the terms of the contract to extend the minimum distance required for a hole-in-one.

In June 2007, Kolenda had a contract with another sponsor of the tournament if a $ 20,000 hole-in-one was made on a hole. Someone did once, but Kolenda would not pay the claim.

Kolenda was suspended by the department of insurance and a fine in September 2001 for allegedly operating without a license. Under the order, Kolenda was to cease all business of insurance in Connecticut. That order remains in force, the ministry said, but since the suspension, Kolenda companies have written at least 41 holes-in-one insurance contract in violation of the order.

"Not only does it appear Mr. Kolenda has been illegally operating the business of insurance, but he also failed to respond to all allegations in the complaint department," said Sullivan.

According to the website of the Kolenda, hole-in-one.com, the company has "grown in a million dollar, worldwide company that has provided more than 60,000 customers, has contributed more than $ 10 million in scholarships through the United States and internationally. "


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