Texas Enforcements for June 2011 Include Nearly $285K in Fines, Restitution

Enforcement actions taken by the Texas Department of Insurance that became final during June 2011 include seven license revocations, two license denials, and fines and restitution totaling $285,521.

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

Billy, Elvin Joseph Jr. of Humble
Order Number: 110533
Date of Order: 6/27/2011
Order Final In: June
Action Taken: General Life, Accident and Health License revoked.
Violation: Engaged in fraudulent and dishonest acts or practices.

Fernie, Deborah Carrie of Keller
Order Number: 110521
Date of Order: 6/23/2011
Order Final In: June
Action Taken: Escrow Officer License revoked.
Violation: Misappropriated or converted money belonging to an insurer or insured; Provided settlement statement that failed to name all parties in the settlement.

First Commitment Title, Inc.; Silver Star Title, LLC dba Sendera Title; Brown, Charles Scott of Dallas
Order Number: 110520
Date of Order: 6/22/2011
Order Final In: June
Action Taken: Fined $195,000; Must pay restitution of $60,521; Title Insurance Agent License held by First Commitment Title, Inc. revoked.
Violation: Failed to comply with provisions of the title insurance basic manual.

Jackson, Damion Lamont of San Antonio
Order Number: 110523
Date of Order: 6/23/2011
Order Final In: June
Action Taken: General Life, Accident and Health License and General Property and Casualty License revoked.
Violation: Engaged in fraudulent or dishonest acts or practices.

Le, Tina and Virnet Premium Finance, Inc. of Houston
Order Number: 110506
Date of Order: 6/17/2011
Order Final In: June
Action Taken: Emergency Cease and Desist Order
Violation: Unauthorized insurance.

Lonergan, Gaylene Rogers of Dallas
Order Number: 110483
Date of Order: 6/9/2011
Order Final In: June
Action Taken: Fined $10,000.
Violation: Failed to comply with provisions of the title insurance basic manual; Acted as an Escrow Officer without a license.

Managed Care Administrators, Inc. of Tulsa, OK
Order Number: 110525
Date of Order: 6/23/2011
Order Final In: June
Action Taken: Fined $15,000; Third Party Administrator certificate of authority revoked.
Violation: Failed to file annual report; Failed to pay annual report filing fees; Failed to maintain necessary qualifications for Third Party Administrator.

Matagorda County Title Company, LLC of Bay City
Order Number: 110484
Date of Order: 6/9/2011
Order Final In: June
Action Taken: Fined $4,000.
Violation: Failed to comply with provisions of the title insurance basic manual.

Rios, Cynthia Elisa of El Paso
Order Number: 110505
Date of Order: 6/17/2011
Order Final In: June
Action Taken: General Property and Casualty License revoked.
Violation: Misappropriated or converted money belonging to an insurer or insured.

San Jacinto Title Services of Corpus Christi, LLC n/k/a San Jacinto Title Services of Texas, LLC of Corpus Christi
Order Number: 110493
Date of Order: 6/13/2011
Order Final In: June
Action Taken: Fined $1,000.
Violation: Failed to comply with provisions of the title insurance basic manual

Shumate, McKinley Jr. of Sugar Land
Order Number: 110504
Date of Order: 6/17/2011
Order Final In: June
Action Taken: General Property and Casualty License revoked
Violation: Misappropriated or converted money belonging to an insurer or insured.

License Applications

Graubart, Marc Alan of Houston
Order Number: 110522
Date of Order: 6/23/2011
Order Final In: June
Action Taken: General Life, Accident and Health License application denied.
Violation: Felony criminal offense – mail fraud.

Wood, Morgan Alexander of River Ridge, LA
Order Number: 110524
Date of Order: 6/23/2011
Order Final In: June
Action Taken: Insurance Adjuster License application denied.
Violation: Felony criminal offense

Source: Texas Department of Insurance

Topics Texas Property Casualty