A board member of First Trinity Financial Corp. has called on state regulators to investigate the Tulsa-based insurance company, which has about 4,700 shareholders in Oklahoma.
Wayne Pettigrew, who served in the Oklahoma House of Representatives from 1994 to 2004, said he has sent letters to the Oklahoma Insurance Department and Oklahoma Securities Department asking the agencies to examine the conduct of First Trinity Chairman and CEO Gregg Zahn.
Zahn claims Pettigrew is angry that the board of directors recently voted not to reappoint Pettigrew as a director, and he is now trying to cause problems for the company. Zahn said Pettigrew was not qualified to serve on the board, which voted unanimously at its last meeting not to reappoint him to his board seat.
His last day is May 1.
“Mr. Pettigrew is just angry. He was voted out because nobody wanted him there. Everything he is saying is lies,” Zahn said.”
Pettigrew's letters question a run-in with the law Zahn had in Montana and also claim the CEO tried to hide his ownership of First Trinity stock from his now ex-wife during divorce proceedings several years ago.
First Trinity owns First Trinity Life Insurance Co. and First Trinity Capital Corp. The company was founded in 2004 and raised about $26.4 million in equity through private placements and two public offerings in Oklahoma.
Zahn also was charged with securities fraud and theft in Montana in 1997 for his involvement in a now-defunct company called AmWest Financial Network Inc., according to court records supplied by Pettigrew. The charges claim Zahn and his associates allegedly made false and misleading statements to investors in AmWest.