Australian insurance broker jailed

SYDNEY, Australia—Paul John Blundell, a former director of insurance brokerage Blundell & Associates Pty. Ltd. was sentenced Friday on two counts of fraudulently omitting to account for money.

Mr. Blundell received two fixed terms of six months and will serve at least nine months in jail, according to a statement by the Australian Securities & Investments Commission.

He was sentenced to a further 18 months for another count of fraudulently omitting to account for money between April and July 2002. The sentences will run concurrently.

Mr. Blundell in May pleaded guilty in the New South Wales District Court of all three counts, which involved about $160,000 Australian ($139,829) received from clients as insurance premiums, but which was not used for that purpose, ASIC said.

ASIC investigated the matter which was then brought to court by the Commonwealth Director of Public Prosecutions, Damian Bugg QC.

Mr. Blundell's brother, Richard, on July 12 was sentenced to a two-year jail term, discounted to 18 months after a guilty plea, for four counts of dishonestly obtaining money by deception in May to July 2002, ASIC said.