Legislators Subpoena Officials Over Audit's Findings
by Ed Anderson - Times-Picayune (excerpt)

BATON ROUGE--The legislative panel that oversees enforcement of state audits voted Wednesday to subpoena past and present officials of three state-affiliated insurance agencies to testify about a recently released audit that alleged more than $1 million was misspent on travel, entertainment and meals.

The Legislative Audit Advisory Council, angered by the report and wanting to know why the allegations of long-standing misspending surfaced only recently, voted to compel appearances by Insurance Commissioner Jim Donelon, former Commissioner Robert Wooley and Terry Lisotta, the former executive director of all three agencies: Louisiana Citizens Property Insurance Corp., which is the state-run property insurer of last resort; the Louisiana Automobile Insurance Plan, which is the high-risk auto insurance pool; and the Property Insurance Association of Louisiana, a fire rating board that also managed Citizens and the car insurance pool.

The council also voted to subpoena past and present board members of the three agencies, which auditors say were frequently intertwined, along with their attorneys and chief executive and financial officers; former Louisiana Insurance Rating Commission member Steven "Rock" Ruiz; Charles Cate, a former technology manager for the association; and Curles Reeson, the association's director of administration .

Sen. Tom Schedler, R-Mandeville, said the list of subpoenas may grow. Those subpoenaed must attend the council's Oct. 15 meeting or run the risk of being held in contempt of the Legislature.