WEST COVINA (CBSLA.com) — A former insurance broker-agent faces charges of grand theft, forgery and identity theft for allegedly using another agent’s identity to obtain a credit card and purchase life insurance policies in order to collect the commissions.

Eugene Shy-Ren Hsu, 31, of West Covina, was arrested was arrested Dec. 11 by California Department Of Insurance officers. Hsu was freed two days later after posting $70,000 bail.

Hsu, who owns and operates NCP Insurance Center, had his insurance license revoked in 2011 after he pleaded no contest to a felony count of possession of a controlled substance with intent to sell, Department of Insurance spokeswoman Nancy Kincaid said.

Department officials say Hsu stole the identity of a license insurance agent who saw an ad on Craigslist and applied for a job with Hsu’s company.

(credit: California Department Of Insurance)

(credit: California Department Of Insurance)

Hsu allegedly used the agent’s Department of Insurance identity to write several insurance policies, collecting more than $16,000 in fraudulent commissions on policies issued between June 25 and Oct. 19, 2010. The individuals named in the life insurance applications were unaware policies had been purchased in their names, officials said.

The investigation also determined Hsu used the licensed agent’s identity to take out a credit card with GE Money Bank, which he used to charge close to $4,000 in insurance premium charges to keep his scheme going and continue collecting commissions, officials said.

If convicted of all the counts, Hsu faces a maximum of three years in prison.

“We know other people applied for a job,” Kincaid said. “We want to know if there’s more victims.”

The Department Of Insurance says anyone who responded to a job posting on Craigslist from Eugene Hsu or NCP Insurance, or purchased insurance from him, should check their credit report for unusual activity and confirm with their insurance company the validity of any policies. Consumers with concerns can contact the Department of Insurance’s Consumer Hotline at (800) 927-4357.

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