Providers and Administrators in blue logo
MenuMENU
SearchSEARCH

Co-Owner of US Fidelis Pleads Guilty to Fraud

April 12, 2012
2 min to read


JEFFERSON CITY - Darain Atkinson, one of the two brothers who co-owned and operated US Fidelis, pleaded guilty to misleading customers in the St. Louis area and nationally.


Missouri’s Attorney General Chris Koster’s announcement outlined a range of violations, including keeping refunds owed to customers; leading customers to believe that contracts covered more vehicle repairs than they actually did; using deceptive practices to avoid state laws related to insurance or service contracts; and leading consumers to believe that US Fidelis was affiliated with automakers and dealers when this was not the case.

Ad Loading...


Atkinson now faces an eight-year sentence for each of the first two counts (stealing consumers’ refunds and insurance fraud) and four years for the third count, consumer fraud. Atkinson’s trial is set for Sept. 4, reported F&I and Showroom magazine.


US Fidelis, a direct-to-consumer provider of vehicle service contracts, originally came under investigation in 2008, when then-Attorney General for Pennsylvania (now governor) Tom Corbett claimed that the company systematically ignored federal Do-Not-Call rules, among other violations.


In June, 2011, a St. Charles County grand jury handed down a 14-count indictment against Darain Atkinson and a 13-count indictment against his brother Cory Atkinson, including charges of unlawful merchandising practices, stealing and insurance fraud.


In July, 2011, Missouri Governor Jay Nixon signed a new law that targets auto service contract businesses engaging in deceptive practices to sell extended service contracts.

More Industry

F&Iby Lauren LawrenceFebruary 25, 2026

Report Finds Year-End F&I Strength

Deal volume ebbed and flowed throughout 2025, but product performance remained steady, according to automotive technology and data intelligence solutions provider StoneEagle.

Read More →
Industryby Lauren LawrenceFebruary 24, 2026

China Leads Battery Production

Between 2020 and 2025, gigafactory capacity grew six-fold and is set to grow another 118% by 2030, according Benchmark data.

Read More →
Industryby Hannah MitchellFebruary 24, 2026

Overall Consumer Confidence Up

Americans’ view of present business conditions, the labor market and family finances, though, are still in the dumps, and if they plan to buy cars, many target used units.

Read More →
Ad Loading...
Auto Financeby Lauren LawrenceFebruary 23, 2026

Auto Loan Forecast Bucks Market Trend

Auto loan originations rose over 6% year-over-year in the third quarter of 2025, but TransUnion predicts a slight decline in auto loan growth this year, making it an outlier in the company's overall lending forecast.

Read More →
F&Iby Hannah MitchellFebruary 23, 2026

Some Auto Brands Cheaper to Insure

A new top 10 list ranks the least expensive for average full insurance coverage on a clean driving record and high driver credit scores.

Read More →
Industryby StaffFebruary 20, 2026

Learn to Manage the Mayhem at Agent Summit

Rob Mancuso – president of Mancuso Automotive – will present a Keynote at the 2026 event.

Read More →
Ad Loading...
Industryby Lauren LawrenceFebruary 19, 2026

Affordability Leads Top-Rated List

Edmunds’ editorial team tested 300-plus vehicles to help determine the Top Rated Awards for 2026, and one brand stood out with multiple rankings, including Best of the Best.

Read More →
Salesby Hannah MitchellFebruary 19, 2026

Auto Sales Still Sluggish

February forecast has new-vehicle deliveries still off from last year at this time amid high prices and vanished EV incentives. But J.D. Power sees business picking up from here as automakers target growth.

Read More →
Industryby Hannah MitchellFebruary 18, 2026

EVs Bring Most Satisfaction to Date

Study finds that adopters are true believers and that their satisfaction with the vehicles is growing, including for public charger experience, despite pullback of federal incentives.

Read More →
Ad Loading...
Industryby Lauren LawrenceFebruary 17, 2026

Auto Manufacturing Drives Economic Growth

The sector generates over $64 billion in annual economic impact in South Carolina, making it the largest and fastest-growing manufacturing subsector in the state.

Read More →