The filing of personal bankruptcy by franchise founder Robert Orr was another nail in the coffin for more than 800 insurance agencies left out in the cold after the demise of Brooke Capital Corp.
The company's failure has raised many questions about its business practices, bringing on a visit to its Overland Park, Kan.-offices by the FBI, as well as the notice of a number of insurance departments throughout the country.
The demise of Brooke on Dec. 16 appears complete, with a statement released by its founder saying he filed for personal bankruptcy after pledging his fortune to the company to keep it from going under. Mr. Orr said he and his family lost $12 million and is on the hook for another $25 million he said he personally guaranteed in trying to save Brooke Capital Corp. and Aleritas Capital Corp. (the financing arm for the franchise business).
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
