Rockford Insurance Executive Todd Fendler Sentenced to 50 Months for Draining Clients' Bank Accounts

Case from 2017–2018 (U.S. Attorney's Office latest release: Aug. 15, 2018). Published on Scammers.com Oct. 16, 2026; case status is current as of that date.

Todd J. Fendler, a licensed insurance producer who ran several insurance businesses in Rockford, Illinois, was sentenced on Aug. 15, 2018, to 50 months in federal prison for using clients' bank account information to take their money, the U.S. Attorney's Office for the Northern District of Illinois announced [1]. He was ordered to pay $965,879.63 in restitution.

How the scheme worked

According to Fendler's written plea agreement, as described by prosecutors [1] [2]:

1. Bank data from applications: Businesses and individuals applying for insurance through his companies, including Surplus Market Solutions LLC, Northern Underwriting Managers Inc., Northern Illinois Insurance Billing Services and Northern Illinois Insurance Agency Inc., provided their bank account information.
2. Fake e-checks: Without authorization, he used online services to create fictitious electronic checks drawn on victims' accounts and payable to his companies, then deposited them.
3. Unauthorized withdrawals: He also made unauthorized electronic withdrawals from clients' accounts and from accounts of insurance agents and agencies he worked with.

A 2017 superseding indictment alleged more than 100 clients lost more than $800,000 [2].

The person sentenced

Todd J. Fendler, 42 at sentencing, of Rockford, Ill. [1]

• Indictment (Feb. 28, 2017): one count each of mail and wire fraud; superseded Aug. 22, 2017, with 19 counts of wire fraud and one count of mail fraud [3] [2].
• Plea (Jan. 17, 2018): pleaded guilty to mail fraud.
• Sentence (Aug. 15, 2018): 50 months in prison, three years of supervised release and $965,879.63 in restitution, imposed by U.S. District Judge Frederick J. Kapala.
• Investigation: U.S. Postal Inspection Service.

Red flags

• ACH debits or e-checks you didn't authorize, especially from a company you gave account details to for a quote or application.
• An insurance agency that asks for full bank details before a policy is issued, then sends no policy documents.
• Payments routed to an agency's own account instead of the insurance carrier.

What to do if you're targeted

1. Review business and personal bank statements weekly and dispute unauthorized ACH debits with your bank quickly; deadlines can be short.
2. Confirm your policy directly with the carrier, and check agent licensing with your state insurance department.
3. Report insurance-agent fraud to your state insurance regulator and the U.S. Postal Inspection Service if mail was used.

Case status (as of Oct. 16, 2026)

Defendant	Court	Status as of Oct. 16, 2026	Source
Todd J. Fendler, Rockford, Ill.	N.D. Ill., Western Division (Judge Kapala)	Indicted Feb. 28, 2017 (superseded Aug. 22, 2017); pleaded guilty Jan. 17, 2018; sentenced Aug. 15, 2018, to 50 months; $965,879.63 restitution	[1], [2], [3]

The sentence was imposed in 2018; we have not found a source on any later proceedings.

Sources

1. U.S. Attorney's Office, Northern District of Illinois, "Rockford Insurance Executive Sentenced to More Than 4 Years in Federal Prison for Defrauding Clients," Aug. 15, 2018. https://www.justice.gov/usao-ndil/pr/rockford-insurance-executive-sentenced-more-4-years-federal-prison-defrauding-clients
2. U.S. Attorney's Office, Northern District of Illinois, "Rockford Insurance Executive Charged with Defrauding More Than 100 Clients," Aug. 22, 2017. https://www.justice.gov/usao-ndil/pr/rockford-insurance-executive-charged-defrauding-more-100-clients
3. U.S. Attorney's Office, Northern District of Illinois, "Rockford Insurance Executive Charged with Defrauding Clients," Feb. 28, 2017. https://www.justice.gov/usao-ndil/pr/rockford-insurance-executive-charged-defrauding-clients

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