Oklahoma insurance chief's petition seeks $102 million in 'fraudulent' sale of company

Commissioner Kim Holland, acting as receiver for the insolvent Park Avenue Property and Casualty Insurance Co., said the $37.5 million sale of the company was funded with the company's own assets and caused the "one-day demise" of the firm, according to the petition filed in Oklahoma County District Court.

The defendants include the seller, Providence Holdings Inc. and seven of its owners or executives; New York banker Charles Antonucci Sr.; and Oppenheimer & Co., its investments director and nine of the firm's board members.

"We have uncovered a highly complex financial scheme of fraud and deceit that placed many policyholders in danger while enriching a few insurance company executives," Holland said.

Attorney Stephen Jones, who represents Providence Holdings owner Jerry Lancaster, denied Holland's claims.

"The allegations are baseless and without merit," Jones said. "Providence Holdings and the Lancasters are the victims of a scheme by Charles Antonucci, who deceived the New York banking superintendent, the Oklahoma Insurance Department, his own lawyers and our clients. The proof is in the documents and the documents exonerate our client."