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Simi Valley Woman Arrested in Health-Insurance Scandal

April 30, 1993|PATRICK McCARTNEY | SPECIAL TO THE TIMES

A Simi Valley woman suspected of operating a health-insurance scam with her husband that bilked 3,000 policyholders was arrested at her home Thursday morning without incident, authorities said.

Janice Louise Goebel, 42, was arrested by Simi Valley police on a warrant issued by the state Department of Insurance, said Simi Valley Police Sgt. Mike King.

Police continued to search for Goebel's husband, Leo Patrick Goebel, who was not home when the warrant was served, King said.

The Goebels are former owners of Physician's Choice Plan, which sold health plans to small insurers. The Simi Valley firm, which was not licensed by state officials, also went by the names Physician's Benefit Plan and United Benefit Plan.

The Goebels allegedly claimed that the plans were underwritten by legitimate insurance companies, including Kentucky Central Life Insurance Co. and Lloyds of London, state insurance officials said.

But most of the funds collected as insurance premiums apparently were paid to the operators of the plan and its agents, state officials said. The Goebels never paid insurance premiums for their customers, according to the arrest warrant issued by the insurance department.

Goebel was taken to Ventura County Jail, where she is being held in lieu of $100,000, a jail official said.

A bail review hearing has been scheduled for this afternoon.

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