Regulators target immigration bonds company Nexus
STAUNTON, Va. (AP) — Virginia is threatening to shut down a company that touts its record of reuniting immigrant families, accusing it of running an unlicensed insurance business.
The News Leader reports the state’s Bureau of Insurance wants a cease-and-desist order enforced against Nexus Services Inc., which would shut down the company’s Virginia transactions.
The company helps post bond through third-party licensed bondsmen with federally approved insurance companies for people in immigration detention centers. The Bureau claims Nexus is selling surety insurance in the form of immigration bonds.
CEO Mike Donovan tells the newspaper the regulators don’t understand the service his company provides.
A hearing will be held in March.
The Virginia Attorney General’s Office and other agencies have previously announced investigations of the company’s business practices.