Impact Owner Arrested on 14 Counts of Fraud

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Cary, NC – North Carolina Insurance Commissioner Wayne Goodwin announced Monday the arrest of Frank P. D’Alonzo, of Lavallette, N.J., for allegedly terminating, without notice, group health insurance for the employees of Impact Athletics. D’Alonzo is the sole owner and operator of the club under the corporate name University Wellness.

The Cary athletic club filed bankruptcy in October and closed it’s doors abruptly in November. As previously reported in CaryCitizen, D’Alonzo was being investigated by the NC DOI Investigations Division.

D’Alonzo was arrested by the Ocean County NJ Sheriff’s Office and charged with 14 counts of failure to deliver the required 45-day written notice to employees of the termination of group health insurance coverage. He was placed under a $10,000 secured bond.

Blue Cross & Blue Shield of North Carolina terminated Impact Athletics employee health insurance on July 31, 2009, for non-payment.  Mr. D’Alonzo continued to deduct premium health insurance payments from employees’ paychecks even after their insurance was terminated.  Unaware their coverage was canceled, employees incurred medical expenses totaling nearly $30,000.

Insurance fraud is a felony and may result in jail time, probation, fine or restitution. Impact employees who incurred medical expenses may just be out of luck. If restitution is required by a judge, Mr. D’Alonzo may be just as elusive with this payout as he has been in the past.

This is not the first time D’Alonzo has been under suspicion of wrong doing.  In the late 1980’s, the Pittsburgh Post-Gazette connected him to two ethics inquiries involving payouts to NCAA athletes at Pitt and Iowa State.

4 Responses for “Impact Owner Arrested on 14 Counts of Fraud”

  1. nancyalis says:

    Oh, doesn’t that just figure. Another NJ weasel. (I was born & grew up in NJ–complete with weasels) I moved here to get away from these mobster a-holes. You’re not in Jersey anymore. There’s no “Sopranos” here. Get outtahere!

  2. FormerClient says:

    Does anyone have Impact’s Tax ID#?… maybe from a paystub? I would like to get it for tax filing purposes, but I see now I’m not the only one who has not received any response from McBreen & Kopko.

    My sincerest condolences to the families and employees of Impact that have been horribly betrayed by this situation. I hope you all get justly compensated, and soon.

  3. Leslie says:

    Contact Attorney Jeff Cook who is representing University Wellness – 919-424-6342.

  4. [...] D’Alonzo was arrested on 14 counts of fraud in New Jersey in [...]

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