TDI Reports More Than $171K in Fines and Restitution in January

The Texas Department of Insurance announced enforcement actions taken by Commissioner Mike Geeslin that became final during January.

The actions include three license revocations, two license denials and fines and restitution totaling $171, 832. Copies of Geeslin’s orders may be obtained by contacting TDI’s 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.

TDI Final Disciplinary Orders January 2006:

Atkinson, Torrence of Houston
Order Number: 060052
Date of Order: 1/13/2006
Order Final In: January
Action Taken: $1,000 fine
Violation: Made a material misrepresentation on a license application

Atkinson-Lively, Sherry of Houston
Order Number: 060051
Date of Order: 1/13/2006
Order Final In: January
Action Taken: $7,500 fine
Violation: Made a material misrepresentation on a license application

Burch, Jacquelyne Rena of Houston
Order Number: 060098
Date of Order: 1/30/2006
Order Final In: January
Action Taken: General Life, Accident, and Health License Denied
Violation: Misdemeanor and felony convictions for crimes directly related to the duties and responsibilities of an insurance agent

Champion, Robert Earl of Harlingen
Order Number: 060100
Date of Order: 1/30/2006
Order Final In: January
Action Taken: $6,301 fine subject to a dollar-for-dollar reduction by restitution to $2,000
Violation: Misappropriated or converted money belonging to an insurer or insured; Engaged in fraudulent or dishonest acts or practices

Collins, Jeffrey Harold of Beaumont
Order Number: 060011
Date of Order: 1/3/2006
Order Final In: January
Action Taken: General Life, Accident and Health License and General Property and Casualty License revoked; $10,231 restitution
Violation: Misappropriated or converted money belonging to an insurer or insured; Engaged in fraudulent or dishonest acts or practices;

Freeman, Ted H. of Arlington
Order Number: 060013
Date of Order: 1/3/2006
Order Final In: January
Action Taken: $1,500 fine; Must complete 30 hours of continuing education; One year suspension of Adjuster License
Violation: Failed to comply with continuing education requirements

Graves, James Eugene of Claude
Order Number: 060055
Date of Order: 1/17/2006
Order Final In: January
Action Taken: General Life, Accident, and Health License revoked
Violation: Engaged in fraudulent or dishonest acts or practices; Failed to timely respond to requests for information from TDI

Hernandez, Perry Raymond of San Antonio
Order Number: 060053
Date of Order: 1/13/2006
Order Final In: January
Action Taken: Cease and Desist order; Limited Lines License revoked
Violation: Allegedly misappropriated or converted money belonging to an insurer or insured; Allegedly engaged in fraudulent or dishonest acts or practices; Alleged unauthorized insurance

Hernandez, Susan Helen of San Antonio
Order Number: 060054
Date of Order: 1/13/2006
Order Final In: January
Action Taken: $12,000 fine; Restitution; Cease and Desist order; Complete 15 hours of continuing education; General Property and Casualty License probated suspension
Violation: Allegedly misappropriated or converted money belonging to an insurer or insured; Allegedly engaged in fraudulent or dishonest acts or practices; Alleged unauthorized insurance

Karlseng, Robert Christopher; Escrow Partners Dallas GP, Inc.; Title Partners, L.L.P. of Dallas; Coppell
Order Number: 060101
Date of Order: 1/30/2006
Order Final In: January
Action Taken: $100,000 fine
Violation: Conducted business as an escrow officer without license

Liberty Life Insurance Company of Greenville, SC
Order Number: 060022
Date of Order: 1/5/2006
Order Final In: January
Action Taken: Must notify insureds of the policy’s termination/expiration provisions and give insureds the option of refunds
Violation: Failed to terminate certain policies with specified termination ages and continued to accept premiums and pay claims past the termination age

Real County Title Company of Leakey
Order Number: 060106
Date of Order: 1/31/2006
Order Final In: January
Action Taken: $3,900 fine
Violation: Failed to timely remit title insurance policy guaranty fees

Richardson, Janis Laverne; Janis Richardson Agency; Wright Insurance Agency; Island Insurance Agency of Corpus Christi
Order Number: 060023
Date of Order: 1/5/2006
Order Final In: January
Action Taken: $24,000 fine
Violation: Acted as a surplus lines agent without a license for an unauthorized broker

St. Paul Fire and Marine Insurance Company of St. Paul, Minnesota
Order Number: 060024
Date of Order: 1/5/2006
Order Final In: January
Action Taken: $5,400 fine
Violation: Failed to timely file required experience rating data

The Western and Southern Life Insurance Company of Cincinnati, Ohio
Order Number: 060001
Date of Order: 1/2/2006
Order Final In: January
Action Taken: Restitution and remediation
Violation: Race based pricing

Valdez, Margarita Bustos of El Paso
Order Number: 060025
Date of Order: 1/5/2006
Order Final In: January
Action Taken: General Property and Casualty License denied
Violation: Felony conviction directly related to the business of insurance; Engaged in fraudulent or dishonest acts or practices

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