Insurance

has informed federal prosecutors that she wishes to speak before Morgan is sentenced.

Morgan’s Atlanta-based attorney, Kristen Wright Novay, did not respond to requests for comment.

Bob Page, spokesman for the U.S. Attorney’s Office for the Northern District of Georgia, declined comment.

Clean record

The Georgia Department of Insurance had no knowledge of Morgan’s criminal case until asked about it by the AJC, so he was still considered to be an agent in good standing.

“As it relates to the allegations in the indictment, it does not appear that any report about them was made to our office,” wrote spokesman Brandon Wright in an email to the AJC. “As such, no action was taken.”

The department largely depends on public complaints about suspected misconduct to initiate investigations.

But it will conduct a review based on reports from law enforcement or a third party, including insurers who have a legal obligation to report instances of suspected fraud, Wright wrote. And the department is free to investigate “on its own initiative in any situation in which it is deemed appropriate to do so,’’ he wrote.

The department will now seek action to revoke Morgan’s license, Wright said Tuesday.

‘Unlawful objective’

Details about how Frazier died have not been made public, and John E. Morris, a spokesman for the Shelby County Sheriff ’s Office, said he could not provide details.

“This is still an open case investigation and no arrests have been made,’’ Morris said.

After Frazier’s death, Morgan called one of her daughters to say he would provide money for her funeral expenses in exchange for a copy of her birth certificate, according to the federal indictment.

Roughly two weeks later, the daughter opened a letter from the insurance company stating that the policy had lapsed because two payments were past due. After that, she called Morgan, who told her that the policy was not valid, court records show.

Morgan then called the insurance company, AGLI, to inquire about filing a claim and offered to pay the past-due premiums.

Less than six weeks after Frazier’s death, Morgan got a check from the company. But AGLI’s company policy bans agents from becoming the owner or beneficiary of any policy they write unless the insured was a member of the agent’s immediate family.

This spring, Morgan pleaded guilty to insurance fraud.

Federal authorities conducted an asset forfeiture to recover some of the funds, records show.

The government’s sentencing memorandum says Morgan agreed to pay full restitution to Frazier’s children.