FLORIDA DEPARTMENT OF FINANCIAL SERVICES ucuer, = FILED STATE OF FLORIDA . 8 ae IN THE MATTER OF: SEP 28% . ; CASE NO.: 82087-06-AG D EY ALEJANDRO FRADE °CK@ted by eee : ADMINISTRATIVE COMPLAINT TO: ALEJANDRO FRADE , 4470 NW 94" Terrace iy (o->10¢ PL Sunrise, FL, 33351-5141 . ALEJANDRO FRADE . 1180 Southwest 36" Avenue Suite 201 Pompano Beach, FL, 33069 You, ALEJANDRO FRADE, license LD. #A088584, are hereby notified that the Chief Financial Officer of the State of Florida has caused to be made an investigation of your activities while licensed as an insurance agent in this state, as a result of which it is alleged: .GENERAL ALLEGATIONS 1. Pursuant to Chapter 626, Florida Statutes, you, ALEJANDRO FRADE, are currently licensed in this state as a Life & Health (2- 18) and General Lines (Property & Casualty Insurance)(2-20) Insurance Agent, 2. At all times pertinent to the dates and occurrences referred to herein, you, ALEJANDRO BRADE, were licensed in this state as an insurance agent. — 3. °° Pursuant to Chapter 626, Florida Statutes, the Florida Department of Financial Services (hereinafter “the Department”) has jurisdiction Over your insurance licenses and appointments, . 4, At the time of the alleged violations described below, section 626.55 1, Florida Statutes (2004) was in effect (the Primary Agent law) and you; ALEJANDRO FRADE, were subject to its-provisions. . | COUNT I 5. The above general allegations are hereby realleged and fully incorporated herein by reference, . . 6. In or about October, 2003, Ramnares Naracesingh purchased and took control of the Unistar Insurance agency then operating at various locations, one of them being 1177. State Road 7, Hollywood, Florida (“Hollywood agency”), 1 You, ALETANDRO FRADE, then began working at the agency or at the Pacific Coast Insurance Group, LLC (“Pacific”) office location.in Pompano Beach, Florida. 8. However, from about April, 2004 until approximately October, 2004, you, ALEJANDRO FRADE, spent most of your time at the Pacific office and knowing and willfully allowed or directed an unlicensed agent, Rachel Flores, to oversee operations of the Hollywood . agency or simply act as an insurance agent at that location. The approximately six-month period described above is part of a two-year period during which Ms, Flores had operated as an you had never even met. IT IS THEREFORE CHARGED that you, ALETANDRO FRADE, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the Department of Financial Services which constitute grounds for the suspension or revocation of your licenses and appointments: (a) Knowingly aiding, assisting, procuring, advising, or abetting any Person in the violation of or to violate 4 provision of the insurance code or any order or rule of the department, commission or office [Section 626.621(12), Florida Statutes]; (b) No employee of an agent or agency may bind i insurance coverage unless licensed and appointed as a general lines agent or customer Tepresentative. [Section 626, 0428(2), Florida Statutes]; (c) No employee of an agent or agency may initiate contact with any person for the purpose of soliciting i insurance unless licensed and appointed as a genera lines agent, customer Tepresentative, or solicitor, [Section 626. 0428(3), Florida Statutes]; (d) An insurer, a managing general agent, or an agent, directly or through any Tepresentative, may not furnish to any agent any blank forms, applications, stationery, or other supplies to be used in Soliciting, negotiating, or effecting contracts of i Ansurance on its behalf unless such blank forms, applications, stationery, or other supplies relate to a class of business with respect to which the agent is licensed and appointed, whether for that i insurer or another insurer. [Section 626, 342, Florida Statutes]; (e) Demonstrated lack of fitness or trustworthiness to engage in the business of. ° insurance, [Section 626.61 1(7), Florida Statutes]; ® Willful failure to comply with, or willful violation of, any Proper order or rule of : the department or willful violation of any provision of this code. [Section 626, 6-611C 13), Florida : Statutes]; () Violation of any provision of this code or ‘of any other law applicable to the business of insurance in the course of dealing under the license or appointment, [Section 626. 071), Florida Statutes), COUNT IT 9. The above general allegations are hereby realleged and fully incorporated herein by reference, “10. , On or about September 18, 2004, Jerome Pomilia went to the Hollywood agency to purchase automobile insurance. At that time and place, and because you, ALEJANDRO FRADE, knowingly and willfully allowed Rachel Flores to market i insurance to the public, Mr. Pomilia dealt with Rachael Flores, who explained coverage and sold him a policy, | 11. Mr. Pomilia did not then purchase the insurance coverage from you, ALEJANDRO FRADE, although your Signature and agent license number appear on the application which Mr. Pomilia signed on September 11, 2004, IT Is THEREFORE CHARGED that you, ALETANDRO FRADE, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the Department of Financial Services which constitute grounds for the suspension or revocation of your licenses and appointments: (a) Knowingly making a false or fraudulent written or oral statement or representation on, or relative to, an application or negotiation for an insurance policy for the purpose of obtaining a fee, commission, money, or other benefit from any insurer, agent, broker, . or individual. [Section 626.9541(1)(k)(1), Florida Statutes]; | (b) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance, [Section 626.61 1(7), Florida Statutes]; (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.61 1(9), Florida Statutes]; (d) Violation of any provision of this code or of any other law applicable to the ‘business of insurance in the course of dealing under the license or appointment [Section 626.621 (2), Florida Statutes]. COUNT III 12, The above general allegations are hereby realleged and fully incorporated herein by reference, 13. On or about July 27, 2004, Lois L. Borley went to the Hollywood a agency to purchase automobile insurance, Ms, Borley dealt with Rachael Flores, who explained coverage and sold her a policy. 14, Ms. Borley did not then purchase the insurance coverage from you, ALEJANDRO FRADE, although your signature and agent license number appear on the application which Ms. Borley signed on July 27, 2004, IT IS THEREFORE CHARGED that you, ALEJANDRO FRADE, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the Department of Financial Services which constitute grounds for the suspension or revocation of your licenses and appointments: | (a) Knowingly making a false or fraudulent written or oral statement or representation on, or re] ative to, an application or negotiation for an insurance policy for the purpose of obtaining a fee, commission, money, or other benefit from any insurer, agent, broker, or individual, {Section 626.9541( 1k(1), Florida Statutes]; (b) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [Section 626.611(7), Florida Statutes]; (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.61 1(9), Florida Statutes]; . (d) Violation of any provision of this code or of any other law applicable to the business of insurance in the course of dealing under the license or appointment [Section 626.621 (2), Florida Statutes], WHEREFORE, you, ALEJANDRO FRADE, are hereby notified that the Chief Financial Officer intends to enter an Order suspending or revoking your licenses and appointments as an insurance agent or to impose such penalties as may be provided under the provisions of Sections 626.611, 626.621, 626.681, 626.691, and 626.9521, Florida Statutes, and under the other teferenced sections of the Florida Statutes as set out in this Administrative Complaint, | NOTICE OF RIGHTS You have the right to request a proceeding to contest this action by the Department pursuant to sections 120.569 and 120.57, Florida Statutes, and Rule 28-107, Florida Administrative Code, The proceeding request must be in writing, signed by you, and must be filed with the Department within twenty-one (21) days of your receipt of this notice, Completion of the attached Election of Proceeding form and/or a petition for administrative hearing will suffice as a written request. The request must be filed with the General Counsel as acting Agency Clerk, at the Florida Department of Financial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0333. Your written response must be received by the Department no Jater than 5:00 p.m. on the twenty-first day after your receipt of this notice. Mailing the response on the twenty-first day will not preserve your right to a hearing. "YOUR FAILURE TO RESPOND IN WRITING WITHIN I'WENTY-ONE (21) DAYS’ OF YOUR RECEIPT OF THIS NOTICE WILL CONSTITUTE A WAIVER OF YOUR RIGHT If you request a proceeding, you mist provide information that complies with the requirements of Rule 28- 107. 004, Florida Administrative Code. As noted above, completion of the attached Election of Proceeding form conforms to these requirements, Specifically, your response must contain: (a) The name and address of the party making the request, for purpose of service; (b) A statement that the party is requesting a hearing involving disputed issues of . material fact, or a hearing not involving disputed issues of material fact; and (c) . Areference to the notice, order to show cause, administrative complaint, or other communication that the party has received from the agency. If a hearing of any type is requested, you have the tight to be represented by counsel or other qualified representative at your expense, to present evidence and argument, to call and cross-examine witnesses, and to compel the attendance of witnesses and the production of documents by subpoena. If a proceeding is requested and there is no dispute of material fact, the provisions of section 120.57(2), Florida Statutes, apply. In this regard, you may submit oral or written evidence in Opposition to the action taken by the Department or a written statement challenging the grounds upon which the Department has relied, While a hearing is normally not required in the absence of a dispute of fact, if you feel that a hearing is necessary, one will be conducted in Tallahassee, Florida, or by telephonic conference call upon your request. . Mediation of this matter pursuant to section 120.573, Florida Statutes, is not available,’ No Department attorney will discuss this Matter with you until the response has been received by the Department of Financial Services, . GNED this _ 3 day of _Seakmber 2006. DATED and SI x i | 4 : ete AS Ne , Le. a KAREN CHANDLER a ue) 4 Deputy Chief Financial Officer CERTIFICATE OF SERVICE ERR ALS OF SERVICE FRADE, 470 NW 94h Terrace, Sunrise, FL 33351-5141, ALEJANDRO FRADE, 1180 Southwest 36"! Avenue, of Se7lem her , 2006. Suite 201, Pompano Beach, F) » Busch Division of Legal Services 200 East Gaines St. 612 Larson Building Tallahassee, Florida 32399-9033 (850) 413-4146 Florida Bar Number 0140945

Docket for Case No: 06-003706PL