Texas Regulators Issue $180K in Fines, Restitution for November

The Texas Department of Insurance announced enforcement actions taken by Commissioner Mike Geeslin that became final during November include five license revocations and fines and restitution totaling $180,029.

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.

Final Disciplinary Orders
Campos, Luis Lira of Plano
Order Number: 080956
Date of Order: 11/14/2008
Order Final In: November
Action Taken: $1,500 fine; Must complete 30 hours of continuing education
Violation: Failed to comply with continuing education requirements

Fitzhenry, Mitchell Ray of Houston
Order Number: 080983
Date of Order: 11/25/2008
Order Final In: November
Action Taken: $5,000 fine; $2,263 restitution
Violation: Acted as an agent for unauthorized entities; Materially misrepresented terms and conditions of an insurance policy

Golter, Darryl of Pasadena
Order Number: 080931
Date of Order: 11/6/2008
Order Final In: November
Action Taken: General Life, Accident and Health License and General Property and Casualty License revoked
Violation: Engaged in fraudulent or dishonest conduct; Misappropriated or converted money belonging to an insurer or insured

Harrison, Frank Boyd of Selma
Order Number: 080939
Date of Order: 11/7/2008
Order Final In: November
Action Taken: General Life, Accident and Health License revoked
Violation: Felony conviction, securities fraud

Lone Star Title Inc. of Grapevine
Order Number: 080936
Date of Order: 11/7/2008
Order Final In: November
Action Taken: Title Insurance Agent’s License revoked
Violation: Failed to maintain separate and distinct accounting of escorw funds; Misapplication of fiduciary property; Failed to comply with prior Commissioner’s Order

Morgan, Matthew Jason of Houston
Order Number: 080982
Date of Order: 11/25/2008
Order Final In: November
Action Taken: $138,594 restitution; 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

National Interstate Insurance Company of Richfield, OH
Order Number: 080946
Date of Order: 11/10/2008
Order Final In: November
Action Taken: $10,000 fine
Violation: Failed to file credit scoring model with TDI

Norris, John Michael of Keller
Order Number: 080955
Date of Order: 11/14/2008
Order Final In: November
Action Taken: $1,500 fine; Must complete 15 hours of continuing education
Violation: Failed to comply with continuing education requirements

Olvera, Alma Graciela of Brownsville
Order Number: 080947
Date of Order: 11/10/2008
Order Final In: November
Action Taken: $1,500 fine
Violation: Failed to comply with continuing education requirements

Payne, Altheron L. of San Angelo
Order Number: 080945
Date of Order: 11/10/2008
Order Final In: November
Action Taken: $2,250 fine; Must complete 15 hours of continuing education
Violation: Failed to comply with continuing education requirements

Reiling, Frances Caroline of Fort Worth
Order Number: 080938
Date of Order: 11/7/2008
Order Final In: November
Action Taken: $1,900 fine; Must complete 18 hours of continuing education
Violation: Failed to comply with continuing education requirements

Treybig, Sheila Michelle of Bay City
Order Number: 080932
Date of Order: 11/6/2008
Order Final In: November
Action Taken: $12,522 restitution; General Life, Accident and Health License and 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

Urbano, Pricilla of Brownsville
Order Number: 080937
Date of Order: 11/7/2008
Order Final In: November
Action Taken: $1,500 fine
Violation: Failed to comply with continuing education requirements

Wootton, Stephen Douglas of Madison, NC
Order Number: 080981
Date of Order: 11/25/2008
Order Final In: November
Action Taken: $1,500 fine; Must complete 15 hours of continuing education
Violation: Failed to comply with continuing education requirements

Source: Texas Department of Insurance, www.tdi.state.tx.us