) | FILED JUL 23 2013 CHIEF FINANCIAL OFFICER: D oo) JEFF ATWATER ocketed by LN IN THE MATTER OF: CASE NO: 132499-13-AG CHRIS J. CARLIN / ADMINISTRATIVE COMPLAINT TO: | CHRIS J. CARLIN 9241 N. Cypress Drive Ft. Myers, Florida 33967 CHRIS J. CARLIN 16970 S. Tamiami Trail, Unit 2 Ft. Myers, Florida 33908 CHRIS J. CARLIN P.O. Box 61856 Ft. Myers, Florida 33906 - You, CHRIS J. CARLIN, are hereby notified that pursuant to Chapter 626, Florida Statutes, 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 that: GENERAL ALLEGATIONS 1. You, CHRIS J. CARLIN, are currently licensed in this state as a life and variable annuity agent; a life, health and variable annuity agent; and a health insurance agent. 2. At all times pertinent herein, you, CHRIS J. CARLIN, were eligible for licensure and licensed as an insurance agent in this state. i) ) 3. At all times pertinent herein, you, CHRIS J. CARLIN, were an officer and director of Flagler Insurance and Risk Management Inc, a Florida incorporated insurance agency doing business in Lee County, Florida. 4. At all times pertinent to the dates and occurrences referred to herein, and pursuant to Section 626.561(1), Florida Statutes, all funds received by you, CHRIS J. CARLIN, from insureds were trust funds received in a fiduciary capacity and were to be paid over to an insurer, insured, or other person entitled thereto in the regular course of business. COUNT I 5. Paragraphs one through four are realleged and incorporated herein by reference. 6. In early September 2012, you, CHRIS J. CARLIN, were solicited by Joy Monroe, personal insurance manager, of the Hylant Group on behalf of Hylant’s client Anita C. Inlow to provide a premium quote for homeowners insurance to insure a residence that Ms. Inlow owned in Lee County, Florida. To this end, you, CHRIS J. CARLIN, obtained a quote from Orchid Insurance Brokers, Inc. of Vero Beach, Florida to insure the Inlow property for the premium amount of $52,703.20. However, you, CHRIS J. CARLIN, falsely misrepresented this quoted premium to Joy Monroe as being $62,135.00 rather than $52,703.20. This quote was false and a material misstatement of fact. 7. On or about September 11, 2012, you, CHRIS J. CARLIN, received a check in the amount of $62,135.00 drawn on the account of ACI Industries, Inc., of Carmel, Indiana on behalf of Anita C. Inlow. This check was intended to be in payment of Ms. Inlow’s homeowner’s insurance premiums on a residence that she maintained in Lee County. You, CHRIS J. CARLIN, received the funds and deposited the funds into your business bank account. > ) 8. You, CHRIS J. CARLIN, failed to remit the entire funds on behalf of Ms. Inlow to any insurer or to anyone else so entitled, but only remitted $52,703.20 to the insurer, retaining the remainder of $9,431.80 for your own use and benefit. You, CHRIS J. CARLIN, failed to return the funds to Ms. Inlow or otherwise account for such funds until June 2012, and only then after demand for return of the funds had been made. 9. You, CHRIS J. CARLIN, have misappropriated, converted, or wrongfully withheld moneys belonging to Ms. Inlow. As a result, Anita C. Inlow suffered a significant financial loss. 10. The foregoing findings constitute grounds for violation of several provisions of the Florida Insurance Code including, but not limited to the following: (a) Section 626.561, Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers, insureds, or others received by an agent under his license are trust funds received by the licensee in a fiduciary capacity. The licensee in the regular course of business shall account for and pay the same to the insurer, insured, or other person entitled thereto. (b) Section 626.611(7), Florida Statutes, which provides that it is a violation for any applicant, agent, title agency, adjuster, customer representative, service representative, or managing general agent to demonstrate a lack of fitness or trustworthiness to engage in the business of insurance. (c) Section 626.61 1(10), Florida Statutes, which provides that it is a violation for any applicant, agent, title agency, adjuster, customer representative, service representative, or managing general agent to misappropriate, convert, or unlawfully withhold moneys belonging to insurers or insureds or beneficiaries or to others and received in conduct of business under the license or appointment. (d) Section 626.611(13), Florida Statutes, which provides that it is a violation for any applicant, agent, title agency, adjuster, customer representative, service representative, or managing general agent to willfully fail to comply with, or willfully violate any proper order or rule of the department or willfully violate any provision of this code. (e) Section 626.621(6), Florida Statutes, which provides that it is. a.violation,in the. . conduct of business under the license or appointment, to engage in unfair methods of competition or in unfair or deceptive acts or practices, as prohibited under part IX of this chapter. (f) Section 626.9541(1)(a)1, Florida Statutes, which provides that it is a violation to knowingly make, issue, circulate, or cause to be made, issued, or circulated, any estimate, . illustration, circular, statement, sales presentation, omission, or comparison which misrepresents the benefits, advantages, conditions, or terms of any insurance policy. (g) Section 626.9541(1)(e) 1, Florida Statutes, which provides that it is a violation to knowingly: a. File with any supervisory or other public official, b. Make, publish, disseminate, circulate, c. Deliver to any person, d, Place before the public, e. Cause, directly or indirectly, to be made, published, disseminated, circulated, delivered to any person, or placed before the public, any false material statement. ) ) WHEREFORE, you, CHRIS J. CARLIN, 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, 626.692, and 626.9521, Florida Statutes, and under the other referenced sections of the Florida Statutes as set out in this Administrative Complaint. You are further notified that any order entered in this case revoking or suspending any license or -eligibility for licensure held by you shall also apply to:alk other ticenses: and-eligibility-held: by you under the Florida Insurance Code. 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 Julie Jones, 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. FAILURE TO ENSURE YOUR WRITTEN REPONSE IS RECEIVED BY THE DEPARTMENT 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. (ec) | 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. 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 23 dayof_ OU! Y 2013. GREGORY THOMAS, Director Agent and Agency Services ) ») CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing Administrative Complaint and ELECTION OF PROCEEDING has been furnished by Electronic Mail and/or Certified Mail to CHRIS J. CARLIN ccarlin@nwalliedfl.com; CHRIS J. CARLIN, 9241 N. Cypress Drive, Ft. Myers, Florida 33967; CHRIS J. CARLIN, 16970 S. Tamiami Trail, Unit 2, Ft. Myers, Florida 33908; CHRIS J. CARLIN, P.O. Box 61856; Ft. Myers, Florida 33906 onthis 23 — day of July __, 2013. s ES A. BOSSART, ESQUIRE Division of Legal Services .. 612 Larson Building Tallahassee, Florida 32399-0333 (850) 413-4124

Docket for Case No: 13-002968PL