F’ FILED REPRESENTING ALEX SINK DEC 17 2009 \D-DISS AL ae py _NO- IN THE MATTER OF: CASE NO.: 106467-09-AG LORENZO LAWS / ADMINISTRATIVE COMPLAINT s Be az TO: LORENZO LAWS 3 3818 Arrowhead Drive Saint Augustine, Florida 32086-5501 = LORENZO LAWS a PO BOX 904 a Saint Augustine FL 32085-0904 You, LORENZO LAWS, license I.D. #4151099, 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 Pursuant to Chapter 626, Florida Statutes, you, LORENZO LAWS, are currently 1. licensed in this state as a life including variable annuity and health (2-15) insurance agent. At all times pertinent to the dates and occurrences referred to herein, you, 2. LORENZO LAWS, were either not or were relicensed in this state as a life including variable annuity and health (2-15) insurance agent. 3. Pursuant to Chapter 626, Florida Statutes, the Florida Department of Financial . Services has jurisdiction over your insurance license and appointments. 4. At all times material herein, you, LORENZO LAWS, as a former licensed insurance agent whose insurance license has been revoked by Petitioner, working by, through, and with Laws and Associates, Inc., as its President, sold index annuity insurance contracts and otherwise engaged in the insurance business as prohibited by Final Order of Revocation entered against you on January 17, 1997. You, LORENZO LAWS, made false representations to insurers, and, caused the name of a licensed insurance agent, James G. Zuccardi, who held appointments by the insurers, to be falsely affixed to applications for individual index annuity contracts sold by you and submitted to the insurer, all as will be hereinafter more fully set forth. COUNT I 5. The above general allegations are hereby realleged and fully incorporated herein by reference. 6. On or about January 26, 2000, you, LORENZO LAWS, acting without a license to sell or engage in the insurance business, as prohibited by Final Order of Revocation entered against you on January 17, 1997, and working by, through, and with Laws and Associates, Inc., sold to Sylvester Lucas, Jr., a tax sheltered annuity and insurance contract issued through ReliaStar Northern Life Insurance Company. Such sale was based upon your representation that the purported insured, Sylvester Lucas, Jr., could, upon his retirement, withdraw all or part of the annuity proceeds without surrender charges which was a false representation. IT IS THEREFORE CHARGED that you, LORENZO LAWS, 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) No person may be, act as, or advertise or hold himself or herself out to be an insurance agent, insurance adjuster, or customer representative unless he or she is currently licensed by the department and appointed by an appropriate appointing entity or person. [Section 626.112(1)(a), Florida Statutes]; (b) _No agent or customer representative shall solicit or otherwise transact as agent or customer representative, or represent or hold himself or herself out to be an agent or customer representative as to, any kind or kinds of insurance as to which he or she is not then licensed and appointed. [Section 626.112(2), Florida Statutes]; (c) No individual, firm, partnership, corporation, or association, or any other entity shall act in its own name or under a trade name, directly or indirectly, as an insurance agency, unless it complies with Section 626.172 with respect to possessing an insurance agency license for each place of business at which it engages in any activity which may be performed only be a licensed insurance agent. [626.112(7)(a), Florida Statutes]; (d) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [626.611(7), Florida Statutes]; (e) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [626.611(9), Florida Statutes]; (f) Willful failure to comply with, or willful violation of, any proper order or tule of the department or willful violation of any provision of this code. [626.611(13), Florida Statutes]; (g) Willful misrepresentation of any insurance policy or annuity contract or willful deception with regard to any such policy or contract, done either in person or by any form of dissemination of information or advertising. [626.611(5), Florida Statutes]; (h) During the period of suspension or revocation of the license or appointment, the former licensee or appointee shall not engage in or attempt or profess to engage in any transaction or business for which a license or appointment is required under this code or directly or indirectly own, control or be employed in any manner by any insurance agent or agency or adjuster or adjusting firm. [Section 626.641(4), Florida Statutes]; (i) No individual shall, unless licensed as a life agent, solicit insurance for annuities or procure applications. [Section 626.7845(2)(a)]. _ COUNT II 7. The above general allegations are hereby realleged and fully incorporated herein by reference. 8. On or about January 26, 2000, while prohibited from engaging in the sale of insurance under Final Order of Revocation of your license entered on January 17, 1997, you, LORENZO LAWS, working by, through, and with Lorenzo & Associates, Inc., prepared and submitted to ReliaStar Northern Life Insurance Company an application for an annuity policy for Sylvester Lucas, Jr. You, LORENZO LAWS, caused such application to falsely reflect the name of a licensed insurance agent, James G. Zuccardi, as the agent submitting this application who in fact, had not at anytime been present when your sale transaction took place. IT IS THEREFORE CHARGED that you, LORENZO LAWS, 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 related 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(k)1, Florida Statutes]. COUNT III 9. The above general allegations are hereby realleged and fully incorporated herein by reference. 10. On or about January 31, 2001, you, LORENZO LAWS, acting by, through, and with Lorenzo Laws, Inc., and acting without a license to sell insurance and prohibited by Final Order of Revocation entered on January 17, 1997, to in any way engage in the business of insurance, nonetheless sold to Collendra Gibson, a tax sheltered annuity insurance plan to be issued by Northern Life Insurance Company. IT IS THEREFORE CHARGED that you, LORENZO LAWS, 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) No person may be, act as, or advertise or hold himself or herself out to be an insurance agent, insurance adjuster, or customer representative unless he or she is currently licensed by the department and appointed by an appropriate appointing entity or person. [Section 626.112(1)(a), Florida Statutes}; (b) —_ No agent or customer representative shall solicit or otherwise transact as agent or customer representative, or represent or hold himself or herself out to be an agent or customer representative as to, any kind or kinds of insurance as to which he or she is not then licensed and appointed. [Section 626.112(2), Florida Statutes]; (c) _No individual, firm, partnership, corporation, or association, or any other entity shall act in its own name or under a trade name, directly or indirectly, as an insurance agency, unless it complies with Section 626.172 with respect to possessing an insurance agency license for each place of business at which it engages in any activity which may be performed only be a licensed insurance agent. [626.112(7)(a), Florida Statutes}, (dq) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [626.611(7), Florida Statutes]; (e) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [626.61 1(9), Florida Statutes]; ) (63) 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. [626.611(13), Florida Statutes]; (g) Willful misrepresentation of any insurance policy or annuity contract or willful deception with regard to any such policy or contract, done either in person or by any form of dissemination of information or advertising. [626.611(5), Florida Statutes]; (h) During the period of suspension or revocation of _ the license or appointment, the former licensee or appointee shall not engage in or attempt or profess to engage in any transaction or business for which a license or appointment is required under this code or directly or indirectly own, control or be employed in any manner by any insurance agent or agency or adjuster or adjusting firm. [Section 626.641(4), Florida Statutes]; (i) No individual shall, unless licensed as a life agent, solicit insurance for annuities or procure applications. [Section 626.7845(2)(a)]. COUNT IV 11. The above general allegations are hereby realleged and fully incorporated herein by reference. 12. In or around January 2001, you, LORENZO LAWS, while prohibited from engaging in the sale of insurance under Final Order of Revocation of your license entered on January 17, 1997, and acting by through and with Lorenzo & Associates, Inc., prepared and submitted to Northern Life Insurance Company an application for an annuity policy of insurance for Linda F. Gibson. You, LORENZO LAWS, caused such application to falsely reflect the name of a licensed insurance agent, James G. Zuccardi, as the agent preparing and submitting the application when in fact, agent Zuccardi did not at anytime act as such. IT IS THEREFORE CHARGED that you, LORENZO LAWS, 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 related 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(k)1, Florida Statutes]. COUNT V 13. The above general allegations are hereby realleged and fully incorporated herein by reference. 14. In or around May, 2007, you, LORENZO LAWS, after having then effected restoration of your license as an insurance agent, and acting by through and with Lorenzo Laws & Associates, Inc, as its President and Owner, sold a retired insurance savings plan to ten employees of The Agricultural & Labor Program, to be issued by ING Insurance Company. Those insured were: Sheila Armstead; Dennis Gniewek; Alice C. Leonard; Sheila Cuker; Albert Miller; Roger M. Brackett; Hilda Walker; Toni Jones; Juliet L. Gilberry; and Ronald L. Hill. 15. You, LORENZO LAWS, prepared and submitted applications for each of these insureds to ING Insurance Company. On each such application, you falsely affixed the name of James G. Zuccardi, a licensed insurance agent, as the appointed agent acting for. ING Insurance Company when in fact he was not present or involved in any way with the sales which you had effected. IT IS THEREFORE CHARGED that you, LORENZO LAWS, 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 related 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(k)1, Florida Statutes]. WHEREFORE, you, LORENZO LAWS, 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 referenced 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 of Financial Services ("Department") pursuant to Sections 120.569 and 120.57, Florida Statutes, and Rule 28-106, 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 DFS Agency Clerk at the Florida Department of Financial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0390. Your written response must be received by the Department no later 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 TWENTY-ONE (21) DAYS OF YOUR RECEIPT OF THIS NOTICE WILL CONSTITUTE A WAIVER OF YOUR RIGHT TO REQUEST A PROCEEDING ON THE MATTERS ALLEGED HEREIN AND AN ORDER OF SUSPENSION OR REVOCATION WILL BE ENTERED AGAINST YOU. If you request a proceeding, you must provide information that complies with the requirements of Rule 28-106.2015, 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, address, and telephone number, and facsimile number (if any) of the respondent (for the purpose of requesting a hearing in this matter, you are the "respondent"). (b) The name, address, telephone number, facsimile number of the attorney or qualified representative of the respondent (if any) upon whom service of pleadings and other papers shall be made. (c) A statement requesting an administrative hearing identifying those material facts that are in dispute. If there are none, the petition must so indicate. (d) A statement of when the respondent received notice of the administrative complaint. (e) A statement including the file number to the administrative complaint. If a hearing of any type is requested, you have the right 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. However, if you dispute material facts which are the basis for the Department’s action, you must request an adversarial proceeding pursuant to Sections 120.569 and 120.57(1), Florida Statutes. These proceedings are held before a State Administrative Law Judge of the Division of Administrative Hearings. Unless the majority of witnesses are located elsewhere, the Department will request that the hearing be conducted in Tallahassee, Florida. 8 Failure to follow the procedure outlined with regard to your response to this notice may result in the request being denied. All prior oral communication or correspondence in this matter shall be considered freeform agency action, and no such oral communication or correspondence shall operate as a valid request for an administrative proceeding. Any request for an -administrative proceeding received prior to the date of this notice shall be deemed abandoned unless timely renewed in compliance with the guidelines as set out above. 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. DATED and SIGNED this [724 day or LECCAG-B000. TAMMY mC Deputy Chief Financial Officer CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing ADMINISTRATIVE COMPLAINT and ELECTION OF PROCEEDING has been furnished to: LORENZO LAWS 3818 Arrowhead Drive Saint Augustine, FL 32086-5501 LORENZO LAWS PO BOX 904 Saint Augustine FL 32085-0904 by Certified Mail this’? day of ELEM BER , 2009. ae , Dean Andrews Division of Legal Services 200 East Gaines St. 612 Larson Building Tallahassee, Florida 32399-033 (850) 413-4242 Florida Bar Number 0001959 10 STATE OF FLORIDA DEPARTMENT OF FINANCIAL SERVICES IN THE MATTER OF: CASE NO.: 106467-09-AG LORENZO LAWS a ELECTION OF PROCEEDING I have received and have read the Administrative Complaint filed by the Florida Department of Financial Services ("Department") against me, including the Notice of Rights contained therein, and I understand my options. I am requesting disposition of this matter as indicated below. (CHOOSE ONE) 1 [] I do not dispute any of the Department's factual allegations and I do not desire a hearing. I understand that by waiving my right to a hearing, the Department may enter a final order that adopts the Administrative Complaint and imposes the sanctions sought, including suspending or revoking my licenses and appointments as may be appropriate. 2. 1 do not dispute any of the Department's factual allegations and I hereby elect a proceeding to be conducted in, accordance with Section 120.57(2), Florida Statutes. In this regard, I desire to (CHOOSE ONE): [] Submit a written statement and documentary evidence in lieu of a hearing; or {] Personally attend a hearing conducted by a department hearing officer in Tallahassee; or {] Attend that same hearing by way of a telephone conference cail. 3. [] I do dispute one or more of the Department's factual allegations. I hereby request a hearing pursuant to Section 120.57(1), Florida Statutes, to be held before the Division of Administrative Hearings. I have attached to this election form the information required by Rule 28-106.2015, Florida Administrative Code, as specified in subparagraph (c) of the Notice of Rights. Specifically, I have identified the disputed issues of material fact. TO PRESERVE YOUR RIGHT TO A HEARING, YOU MUST FILE YOUR RESPONSE WITH THE DEPARTMENT OF FINANCIAL SERVICES WITHIN TWENTY-ONE (21) DAYS OF YOUR RECEIPT OF THE ADMINISTRATIVE COMPLAINT. THE RESPONSE MUST BE RECEIVED BY THE DEPARTMENT NO LATER THAN 5:00 P.M. ON THE TWENTY-FIRST DAY AFTER YOUR RECEIPT OF THE ADMINISTRATIVE COMPLAINT. The address for filing is: Tracey Beal, DFS Agency Clerk, Florida Department of Financial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0333. Signature Print Name Date: Address: Date Administrative Complaint Received: *If you are represented by an attorney or qualified Phone No.: representative, please attach to this election form their name, address, telephone and fax numbers Fax No.: 11

Docket for Case No: 10-000195PL