BILLINGS — On Friday morning, Kileen Hagadone of Forsyth was taken into FBI custody before being booked into the Yellowstone County Detention Facility in Billings. One week prior, Hagadone was permanently barred from practicing insurance-related business in the state of Montana following an investigation into criminal allegations.
The Yellowstone County Detention Facility (YCDF) told MTN News Hagadone is currently in custody at the facility. According to the jail roster, Hagadone is facing possible criminal charges and is on a federal hold without bail until she makes her first court appearance.
MTN News reached out to the Rosebud County Sheriff's Office on Friday morning and was told Hagadone was arrested by two FBI agents without incident in Forsyth and was then taken to YCDF.
The investigation is ongoing.
Montana Insurance Commissioners Troy Downing announced Wednesday that he had secured a court order July 12 permanently barring Hagadone and her business, Rosebud County Insurance, Inc. from conducting insurance-related business in Montana.
Hagadone's license was suspended in April by Downing.
Downing's office has alleged that Hagadone forged signatures and misappropriated hundreds of thousands of dollars from clients across Rosebud County, including Chief Dull Knife Community College in Lame Deer.
The college, one of the largest victims, paid around $200,000 in premiums for two years but never received any coverage, Rosebud County Sheriff Allen Fulton told MTN News in April. The sheriff's office is investigating the case for possible criminal violations.
Downing also noted in a news release that attempts to pay premiums through bank accounts controlled by Hagadone and Rosebudy County Insurance were rejected for non-sufficient funds.
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