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Aurora pastor in court in fraud case

Published September 19, 2007 at midnight

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ARAPAHOE COUNTY — The Rev. Acen Phillips, who is used to speaking out for people under fire, said little in court today during his first appearance in connection with fraud charges.

The Aurora preacher, accused of defrauding an insurance company of more than $575,000, signed an "advisement of rights" and agreed to return to Arapahoe County District Court on Oct. 16.

Phillips was accompanied by well-known criminal-defense attorney Gary Lozow, but Lozow said he was not making an official appearance as Phillips' attorney.

Phillips, Lozow explained, is "still struggling" to gather the money to pay an attorney.

As a result, Judge Anne Ollada responded that Phillips is representing himself for now.

In the parking lot, Phillips was asked by a reporter who will be representing him next time: himself or any attorney.

"What do you think?" Phillips asked.

The reporter responded, "An attorney?"

"That's my prayer," Phillips said.

Phillips was then asked what he would say to people who claim they did not get their insurance money.

"I don't know whether that's the case or not," Phillips said.

The state Attorney General's Office has filed 12 felony charges against Phillips, 72.

Attorney General John Suthers's office said last month that Phillips through his attorney has been "very cooperative" so authorities didn't consider him a flight risk warranting arrest.

The criminal charges stem from incidents beginning in April 2005 when Phillips agreed to pay $10,000 a month in premiums to AIG Life Insurance Co., providing coverage for 257 members of New Birth Temple of Praise Community Baptist Church, which he headed.

However, from July 2005 to May 2006, Phillips allegedly submitted fraudulent claims for beneficiaries of five families.

One claim was for Shely Lowe, who was living with Aaron Thompson when his 7-year-old daughter, Aarone, disappeared. Lowe died of a longtime heart condition in May 2006, and Phillips' church was listed as the main insurance beneficiary.

That claim has not been paid. But AIG paid hundreds of thousands of dollars for claims Phillips submitted in the deaths of Ryuichi Brumley, James Gary Edson, the Rev. Kenneth Davis and Sallie Simmons, who he said were members of his church.

After Brumley, 24, died in a car accident in Parker, his parents eventually received $80,000. Phillips allegedly pocketed $120,000 after forging backdated documents that indicated the young man had been a member of his church, the criminal complaint stated.

Parents and other beneficiaries who received life insurance payments are not facing charges, authorities said.

Rocky staff writer Alan Gathright contributed to this report.