Deal may be coming in case of United Benefits CEO - WSMV Channel 4

Deal may be coming in case of United Benefits CEO

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NASHVILLE, TN (WSMV) -

There is a big development in the case of a man and his company accused of preying on sick people who desperately needed health insurance.

It's the latest chapter in our Channel 4 I-Team investigation of a company called United Benefits of America.

Just three months before CEO Tim Thomas and his wife, Kennan, were to go to trial, it appears they've struck a deal and the trial has been postponed.

The Channel 4 I-Team investigation caught supervisors inside United Benefits teaching tactics to mislead uninsured customers, many of whom were sick.

We also found employees admitting they were told to lie and customers all over the country feeling betrayed by the company.

Last year, state troopers shut the company down and the FTC and attorney general sued United Benefits for deceptively marketing medical discount plans.

The trial was slated to begin this November, but federal court records show attorneys on both sides have agreed to some kind of judgment and permanent injunction.

Sources say UBA's CEO will admit to some degree of fault and, to some degree, will be prohibited from operating businesses to some capacity in the future.

The attorney general's office would not comment on the agreement Tuesday and UBA's attorney was unavailable.

The documents show the attorney general's office will take about two months to review this agreement, and then will decide whether or not to accept it.

The assets of the company were frozen and the FTC wants money returned to customers.

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