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Investigation into former Citizens employees raises questions about ethics lapses

Two former Citizens Property executives, who left the state-run insurance company for violating conflict of interest rules, were developing an online software company with their supervisor and receiving hefty pay raises, documents show.

Edward B. Baldwin and Christopher H. Dunn, both high-level executives at Citizens, resigned under fire on May 17 after an internal audit found they formed Silvershore Partners last November with their then-boss, Eric J. Ordway, and used Citizens computers to access a web site for the company during work hours.

Ordway, 48, left the company in December after starting ProfileGorilla, an online software company that specializes in helping businesses track sales, payroll, contracts and other management issues. An investigation into whether or not Ordway and partners used proprietary data from Citizens for private gain is still underway, Citizens auditors told a meeting of the audit committee of the Board of Directors on Tuesday in Miami. Download Conflict investigation

“The forensic audit is focusing on computer software to see if Citizens data was downloaded and removed,’’ said Michael Peltier, a Citizens spokesman.

But the controversy also has raised questions about how much Yong Gilroy, Citizens chief insurance officer, knew about Ordway’s relationship with the employees he supervised. Gilroy has ties to each of the four officers at Silvershore Partners. More here.