April 28, 2006 at 23:00:00

Insurance Commissioner Accused of Cab Scam

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By Betty Clermont, Posted by Matthew Cardinale (about the submitter) Page 2 of 3 page(s)

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Konjit Bekele, Insurance Executive. VFH Insurance, American Cab and American Assoc. of Cab companies.

Tafesse Belachew, Businessman. United Taxicab Company, United Empress Cab Company; and United Group Captive Insurance Company.

Mekeren Tassew, Insurance Executive. United Taxi and United Group Captive Insurance companies.

Jifar Jebel, Administrator. United Taxicab.

"We have calculated that Oxendine has taken $1.7 million from the insurance industry over the last decade," Guy Drexinger, the Democrat running against Oxendine in November, told Atlanta Progressive News.

In February 2005, Oxendine notified the media he would be making a high-profile bust in the little town of Barnesville, about 50 miles south of Atlanta.

The Associated Press and Atlanta's 11 Alive News showed up on March 1, 2005, to photograph Oxendine and the Lamar County sheriff taking Robert Waterhouse, 36, to the county detention center while the GBI raided his home and office.

A local Newspaper Editor in Barnesville's comments make it appear Oxendine's bust was crafted with an eye for big media dramaturgy.

"They all met in nearby Forsyth before coming here together. We were not informed of the raid at all and I learned of it only when I went downtown for coffee that morning and saw all the cameras. It is my understanding that the local police chief and sheriff were notified only 15 minutes before the raids," Walter Geiger, Editor of the local newspaper, The Herald-Gazette, told Atlanta Progressive News.

Oxendine told the Associated Press at the time, "even though the vehicle owners thought they were obeying the law, the taxis and limos must be pulled off the road because they are not legally insured....There will probably be some businesses that go under because of this.''

Any disruption in taxicab service could have a major impact on metro Atlanta's $3.5 billion convention and tourism industry. It also could affect operations at Hartsfield-Jackson International Airport, one of the nation's busiest airports, The Atlanta Journal Constitution said.

Not only would the big cab companies which funded Oxendine benefit from Oxendine's actions by their competitors being pulled off the road; also their insurance companies lost a major competitor when Waterhouse was shut down.

A hearing was scheduled for Robert Waterhouse on March 18, 2005. He was released on $25,000 bond.

In September, all charges were dismissed.

On the same day, March 18, 2005, Oxendine withdrew his candidacy for Lieutenant Governor.

The thing is, Waterhouse's cab insurance agency appears completely legitimate.

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