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Hole-in-one insurance case resolved after 3 years

Published On: Nov 14 2013 04:23:04 PM MST
MISSOULA, Mont. -

After more than three years a case involving an insurance rip off for a hole-in-one is resolved.

Kevin Kolenda's attorney appeared on his behalf to enter a guilty plea to a charge of acting as an insurance producer without a license. Kolenda formerly ran the golf tournament insurance website, hole-in-won.com.

In August 2010 the Missoula Country Club hosted a charity golf tournament sponsored by Allegiance Life and Health Insurance. Part of the tournament was a hole-in-one competition with a prize of $18,000. It was guaranteed by insurance from Kolenda.

Missoula resident Troy Peissig hit a hole-in-one witnessed by a dozen people. He filled out the paperwork to claim his prize, but never got it. Turns out Montana wasn't the first scam Kolenda pulled. At least six other states encountered similar problems. In 2009 Kolenda was fined $6 million for issuing insurance without a license and failing to pay hole-in-one claims.

After and investigation by state insurance officials and plea agreement with prosecutors, Kolenda paid Peissig $10,000.

In Missoula County Justice Court Thursday, Judge Karen Orzech followed a plea agreement handing down a six month suspended jail sentence. Kolenda isn't allowed to run a business in the state of Montana.