TDI Reports April Enforcement Actions

The Texas Department of Insurance announced enforcement actions taken by Commissioner Jose Montemayor that became final during the month of April.

The actions include eleven license revocations, a license denials and fines and restitution totaling $1,144,250. Copies of Montemayor’s orders may be obtained by contacting the Public Information Office.

Only final orders are listed. An order imposing disciplinary measures becomes final 20 days after the agent or insurance company has received notice of the order unless a motion for rehearing is filed within that period.

A motion for rehearing stays the finality of an order until the Commissioner of Insurance acts upon the motion or upon the operation of law.

Commissioner’s orders are subject to appeal to state district court.

Amushie, Lawrence O of Houston
Order Number: 050384
Date of Order: 4/20/2005
Order Final In: April
Action Taken: General Property and Casualty License and General Life, Accident and Health License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misdemeanor conviction directly related to the business of insurance

Benzman, Jeffrey of Houston
Order Number: 050366
Date of Order: 4/14/2005
Order Final In: April
Action Taken: General Property and Casualty License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misappropriated or converted money belonging to an insurer or insured

Bogutzki, Peter William of Webster
Order Number: 050375
Date of Order: 4/19/2005
Order Final In: April
Action Taken: General Life, Accident and Health License revoked
Violation: Failed to comply with Commissioner’s order

Climer, Christina Marie of Rowlett
Order Number: 050362
Date of Order: 4/14/2005
Order Final In: April
Action Taken: $10,000 fine plus restitution; General Life Accident and Health License revoked
Violation: Acted as an agent for unauthorized entities; Materially misrepresented terms and conditions of an insurance policy

Cochran, Christopher Jhue of Rockwall
Order Number: 050380
Date of Order: 4/19/2005
Order Final In: April
Action Taken: General Life, Accident and Health License revoked
Violation: Misappropriated or converted money belonging to an insurer or insured; Engaged in fraudulent or dishonest acts or practices

Coulter, Gene E. of Southlake
Order Number: 050363
Date of Order: 4/14/2005
Order Final In: April
Action Taken: $2,500 fine
Violation: Alleged to have made a material misrepresentation on a license application; Alleged to have failed to notify TDI of an administrative action taken by another state regulator

Examination Management Services, Inc. of Dallas
Order Number: 050394
Date of Order: 4/22/2005
Order Final In: April
Action Taken: $30,000 fine
Violation: Engaging in the business of viatical and life settlements without holding a Certificate of Registration

Griffin, Nils of Laguna Hills, Calif.
Order Number: 050365
Date of Order: 4/14/2005
Order Final In: April
Action Taken: General Life, Accident, and Health License revoked
Violation: Misappropriated or converted money belonging to an insurer or insured; Engaged in fraudulent or dishonest acts or practices

Hayes, Peter Lee of Piedmont, Okla.
Order Number: 050398
Date of Order: 4/22/2005
Order Final In: April
Action Taken: Nonresident Adjuster Property and Casualty License Application denied
Violation: Engaged in fraudulent or dishonest acts or practices; Engaged in criminal conduct involving moral turpitude

Johnson, Wade Warren of Grapevine
Order Number: 050364
Date of Order: 4/14/2005
Order Final In: April
Action Taken: General Life, Accident and Health License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misappropriated or converted money belonging to an insurer or insured

Life Partners, Inc. of Waco
Order Number: 050348
Date of Order: 4/13/2005
Order Final In: April
Action Taken: $7,500 fine
Violation: Used unapproved forms in the business of life settlements

Lindsey, F. Darrell of Salt Lake City, Utah
Order Number: 050395
Date of Order: 4/22/2005
Order Final In: April
Action Taken: $2,000 fine
Violation: Failed to timely file required Annual Agent Reports for Risk Retention and Purchasing Groups (PG3)

McClaugherty, John Henry of Horseshoe Bay
Order Number: 050361
Date of Order: 4/14/2005
Order Final In: April
Action Taken: $65,000 fine
Violation: Acted as an agent for unauthorized entities; Filed policies with the Surplus Lines Stamping Office without direct involvement in the sale of the insurance

McNair, Debora Anita of Humble
Order Number: 050346
Date of Order: 4/7/2005
Order Final In: April
Action Taken: Probated suspension of Limited Lines License; $500 fine; Complete 10 hours of continuing education
Violation: Failed to comply with continuing education requirements

National Standard Insurance Company of Shaumburg, Ill.
Order Number: 050374
Date of Order: 4/18/2005
Order Final In: April
Action Taken: $3,000 fine
Violation: Failed to timely provide experience rating data

Pioneer-Ward County Abstract Company of Monahans
Order Number: 050265
Date of Order: 3/18/2005
Order Final In: April
Action Taken: $7,500 fine; Probated suspension of Title Insurance Agent License
Violation: Failed to timely file annual audit reports and required statistical reports

Pruett, Connie of Richardson
Order Number: 050399
Date of Order: 4/22/2005
Order Final In: April
Action Taken: General Life, Accident, and Health License and General Property and Casualty License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Felony conviction involving moral turpitude

Ramirez, Mary of San Antonio
Order Number: 050402
Date of Order: 4/25/2005
Order Final In: April
Action Taken: General Property and Casualty License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misappropriated or converted money belonging to an insurer or insured

Ramirez, Rene of San Antonio
Order Number: 050400
Date of Order: 4/22/2005
Order Final In: April
Action Taken: General Property and Casualty License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misappropriated or converted money belonging to an insurer or insured

Rimkus Consulting Group Inc. of Houston
Order Number: 050356
Date of Order: 4/14/2005
Order Final In: April
Action Taken: $1,500 fine
Violation: Taught a continuing education course with an expired certificate

Rousseve, Homerzelle Candace of Houston
Order Number: 050381
Date of Order: 4/19/2005
Order Final In: April
Action Taken: $1,500 fine; Probated suspension of General Life, Accident and Health License and General Property and Casualty License
Violation: Made a material misrepresentation on a license application

State Farm Fire and Casualty Company of Bloomington, Ill.
Order Number: 050396
Date of Order: 4/22/2005
Order Final In: April
Action Taken: $10,000 fine
Violation: Cancelled general liability insurance policies in violation of Texas Insurance Code

United International Insurance Company of W. Basseterre, St. Kitts, West Indies
Order Number: 050378
Date of Order: 4/19/2005
Order Final In: April
Action Taken: $1,000,000 fine; Cease and Desist
Violation: Unauthorized insurance; Misappropriated or converted money belonging to an insurer or insured; Engaged in unfair and deceptive acts or practices

Vanschoick, Dee Jr. of Montgomery
Order Number: 050328
Date of Order: 4/1/2005
Order Final In: April
Action Taken: $1,000 fine; Complete 30 hours of continuing education
Violation: Failed to comply with continuing education requirements

Wershay, Steven V. of Sussex, Wis.
Order Number: 050327
Date of Order: 4/1/2005
Order Final In: April
Action Taken: General Life, Accident and Health License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Misappropriated or converted money belonging to an insurer or insured

Willett, Phillip Lavern of San Angelo
Order Number: 050360
Date of Order: 4/14/2005
Order Final In: April
Action Taken: $750 fine; Complete 15 hours of continuing education
Violation: Failed to comply with continuing education requirements

Young, Bernard Dotson of Columbia, Tenn.
Order Number: 050397
Date of Order: 4/22/2005
Order Final In: April
Action Taken: $1,500 fine
Violation: Failed to timely file required Annual Agent Reports for Risk Retention and Purchasing Groups (PG3)