Medical Pot Co. Accuses Insurance Agent of Embezzling $50K Intended for Comp Policy

Monday, January 16, 2017 | 0

A Humboldt County medical marijuana company has sued a local insurance agent for fraud and embezzlement, alleging that it gave the agent $50,000 to buy a workers' compensation policy that was never delivered.

Humboldt Redwood Healing sued John Ford, of the Eureka-based John Ford Insurance Agency, in October. The company also reported Ford to local authorities, and the district attorney's office searched the premises at Ford Insurance on Oct. 21, according to Humboldt Redwood Healing CEO Thomas Mulder.

Mulder published an open letter on Humboldt County-area news blog Redheaded Blackbelt on Wednesday making the accusations public. According to the blog, the District Attorney's office would not confirm or deny it was investigating Ford.

Former Humboldt County District Attorney Paul Gallegos, now in private practice, is representing Humboldt Redwood Healing, according to the lawsuit, which was obtained by county news website Lost Coast Outpost.

Read the Outpost's story here.