FILED MAY 0 8 2014 wigerewammie” —_Docketed by_ STATE OF FLORIDA IN THE MATTER OF: CASE NO.: 144193-14-AG PAN AMERICAN TITLE COMPANY ADMINISTRATIVE COMPLAINT. TO: PAN AMERICAN TITLE COMPANY 8220 Hanley Road Tampa, FL 33634-2206 c/o N. BURTON WILLIAMS, PA 324 South Hyde Park Avenue, Suite 275. Tampa, FL 33606 PAN AMERICAN TITLE COMPANY, license LD. #4199588, is 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 a title insurance agency in this state, as a result of which it is alleged: GENERAL ALLEGATIONS 1. Pursuant to Chapter 626, Florida Statutes, PAN AMERICAN TITLE COMPANY (“PAN AMERICAN”) is currently licensed in this state as a title insurance agency (4-12). 2. At all times pertinent to the dates and occurrences referred to herein, PAN AMERICAN is licensed in this state as a title insurance agency. ) ) 3. Pursuant to Chapter 626, Florida Statutes, the Florida Department of Financial Services has jurisdiction over your insurance license and appointments. 4, PAN AMERICAN is an active Florida company registered with the Department of State, Division of Corporations. 5. At all times material herein, PAN AMERICAN, as a licensed title agency, conducted insurance business by, through and with Nilsa Santos Fernandez (“Nilsa Fernandez”), as the sole officer thereof. 6. At all times material herein, Nilsa Fernandez and Melissa Antonsanti a/k/a Melissa Davila, an employee of PAN AMERICAN and Nilsa Fernandez’s daughter, were the authorized signatories on PAN AMERICAN’s escrow account. 7. At all times material herein, Nilsa Fernandez was the sole authorized signer on SunTrust Bank account number ending in 1066. 8. An investigation was made into the activities of PAN AMERICAN based upon a complaint alleging inflated figures listed on a U.S. Department of Housing and Development Settlement Statement (“HUD-1” or “HUD-1 Settlement Statement”). 9. As a result of the investigation, discrepancies were found on HUD-1 Settlement Statements generated by PAN AMERICAN. These HUD-1 Settlement Statements included monetary amounts falsely inflated. As a result, additional monies were paid in each transaction referenced in this Administrative Complaint which were then misappropriated by PAN AMERICAN and used for its own use and benefit. COUNT I 10. The above general allegations are hereby re-alleged and fully incorporated herein by reference. 11. Section 624.501(27)(e)7, Florida Statutes, provides, in part, that on or before January 30 of each year, each licensed title insurance agency shall remit to the Department an administrative surcharge of $200.00. 12, On or about January 2, 2013, the Department issued a written notice to PAN AMERICAN, reflecting that it has failed to remit the required 2012 administrative surcharge assessed by the Department. 13. As of the date of this Administrative Complaint, PAN AMERICAN has failed to remit payment for the administrative surcharge. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) Section 624.501(27)(e)2, Florida Statutes, which provides that each licensed title insurance agency shall remit to the Department an administrative surcharge of $200 on or before January 30 of each calendar year. (b) Section 626.8437(9), Florida Statutes, which provides that a 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 act is, in itself, a violation of law. COUNT II 14. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. ) ) 15. On or about January 7, 2011, PAN AMERICAN was settlement agent for purchase of property located on Jackson Springs Road in Tampa, Florida, PAN AMERICAN file number PA11-328. 16. Melissa Antonsanti, as settlement agent for Pan American, executed the HUD-1 Settlement Statement. 17, This transaction was a short sale, which means the proceeds fall short of the balance of debts, and the seller is to receive no sale proceeds. 18. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 19. There were two executed HUD-1 Settlement Statements located in PAN AMERICAN’s file, dated January 7, 2011, which depict the real estate taxes and settlement charges differently. However, the HUD-1 Settlement Statements should have contained identical amounts of taxes due and settlement charges. 20. While the total settlement charges paid by the seller remained the same on each HUD-1, the allocation of the settlement charges provided to the lender reflects that PAN AMERICAN was receiving settlement or closing fees in the amount of $1,800, $600 less than the actual fee. The actual fee was $2,400. 21. The HUD-1 Settlement Statement to the lender quoted impermissible premium, charges in excess of the actual fee, and property taxes in the amount of $3,323.91. In point of fact, the property taxes had already been paid. PAN AMERICAN collected $3,323.91 for property taxes which were known not to be due and retained this money for its own use. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) Section 626.611(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 others and received in conduct of business under the license or appointment. (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (d) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. (e) Section 626.9541(1)(0)(1), Florida Statutes, which provides that it is a violation to knowingly collect a sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code. ) ) (69) Section 626.780(1), Florida Statutes, which provides that is a violation to knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the commission. COUNT II 22. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 23. On or about February 24, 2011, PAN AMERICAN was settlement agent for purchase of property located on South 70 Street in Tampa, Florida, PAN AMRICAN file number PA11-228. 24, Nilsa Fernandez , as settlement agent for PAN AMERICAN, executed the HUD-1 Settlement Statement. 25. This transaction was a short sale, which means the proceeds fall short of the balance of debts, and the seller is to receive no sale proceeds. 26. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 27. There were two executed HUD-1 Settlement Statements located in PAN AMERICAN’s file which depict the settlement charges differently. However, the HUD-1 Settlement Statements should have contained identical settlement charges. 28. While the total settlement charges paid by the seller remained the same on each HUD-1, the allocation of the settlement charges on the HUD-1 provided to the lender reflects that PAN AMERICAN was receiving a settlement or closing fee in the amount of $850, which was $450 less than its actual fee. The actual fee was $1,300. ) J 29. The offset of the $450 was principally comprised of an inflated cost for title insurance and revenue stamps on the deed, items the lender approving the short sale would normally deem as non-negotiable. 30. The signed HUD-1 Settlement Statement, dated February 24, 2011, reflects a total of $3,959.61 in property taxes being paid on behalf of the seller. In point of fact, the property taxes had already been paid. PAN AMERICAN retained this money for its own use. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) Section 626,.8437(6), Florida Statutes, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. (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 626.611(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 others and received in conduct of business under the license or appointment. ) ) (d) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (e) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. . COUNT IV 31. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 32. | Onor about April 14, 2011, PAN AMERICAN was settlement agent for purchase of property located on N. Darmouth Avenue in Tampa, Florida, PAN AMERICAN file number _PALL-394. 33. This transaction was a short sale, which means the proceeds fall short of the balance of debts, and the seller is to receive no sale proceeds. 34. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 35. Melissa Antonsanti and Nilsa Fernandez handled the short sale approval process for the listing broker for the subject property. 36. While the total settlement charges paid by the seller, on the HUD-1, remained unchanged from the HUD-1 approved by the lender, the allocation of the settlement charges on the HUD-1 submitted to the lender for approval of the short sale reflects that PAN AMERICAN ) J was receiving a settlement or closing fee in the amount of $1,640, which was $310 less than its actual charge. The actual charge was $1,950. The offset is comprised of an inflated cost of title insurance and documentary stamps on the deed, items the lender approving the short sale would normally deem to be non-negotiable. 37, PAN AMERICAN collected $1,355.31 for real estate taxes which were known not to be due and retained these funds for its own use. . IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) 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 others and received in conduct of business under the license or appointment. (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. ) ) (d) Section 626.8437(6), Florida Statues, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. (e) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto (f) Section 626.9541(1)(0)(1), Florida Statutes, which provides that it is a violation to knowingly collect a sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code. (g) Section 626.780(1), Florida Statutes, which provides that it is a violation to knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the commission. COUNT V 38. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 39. On or about March 21, 2011, PAN AMERICAN was settlement agent for purchase of property located on Ridge Bend Court in Tampa, Florida, PAN AMERICAN file number PA11-410. 40. Nilsa Fernandez, as settlement agent for PAN AMERICAN, executed the HUD-1 Settlement Statement. 10 ) ) 41. The HUD-1 Settlement Statement to the lender quoted impermissible premium, charges in excess of the actual costs, and $6,467.33 for the payment of property taxes. In point of fact, the property taxes owed were $6,167.33. 42. There was no documentation in PAN AMERICAN’ file reflecting the excess costs collected were refunded to the seller. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) — Section 626.611(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 others and received in conduct of business under the license or appointment. (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (d) Section 626.8437(6), Florida Statues, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. 11 ) ) (e) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. (fy Section 626.9541(1)(0)(1), Florida Statutes, which provides that it is a violation to knowingly collect a sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code. (g) Section 626.780(1), Florida Statutes, which provides that it is a violation to knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the commission. COUNT VI 43. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 44. Onor about April 12, 2011, PAN AMERICAN was settlement agent for purchase of property located on Rainbow Drive in Temple Terrace, Florida, PAN AMERICAN file number PA11-419. 45. Nilsa Fernandez, as settlement agent for PAN AMERICAN, executed the HUD-1 Settlement Statement. 46. This transaction was a short sale, which means the proceeds fall short of the balance of debts and the seller is to receive no sale proceeds. 12 ) ) 47. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 48. | Documents which were in PAN AMERICAN’s file reflect the total property tax payoff due was $10,043.76. However, these taxes were ultimately paid by a different entity and PAN AMERICAN retained the funds collected for its own use. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) Section 626.611(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 others and received in conduct of business under the license or appointment. (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawful withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (d) Section 626.8437(6), Florida Statutes, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. 13 ) ) (e) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. COUNT VII 49. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 50. | Onor about May 27, 2011, PAN AMERICAN was settlement agent for purchase of property located on E. North Street in Tampa, Florida, PAN AMERICAN file number PAI1- 454, 51. Nilsa Fernandez, as settlement agent for PAN AMERICAN, executed the HUD-1 Settlement Statement. 52. This transaction was a short sale, which means the proceeds fall short of the balance of debts, and the seller is to receive no funds from the sale of the subject property. 53. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 54. There were three executed HUD-1 Settlement Statements located in PAN AMERICAN's file; one for the lender, one for the buyer, and one for the seller. The HUD-1 Settlement Statements should have contained identical settlement charges. 55. While the total settlement charges paid by the seller remained the same on each HUD-1, the allocation of the settlement charges on the HUD-1, which was provided to the ) ) lender, reflects that PAN AMERICAN was receiving a settlement or closing fee in the amount of $1,500 which was $650 less than its actual fee. The actual fee was $2,150. 56. The offset to the $650 was comprised of an inflated cost for title insurance, recording fees, and revenue stamps on the deed, items the lender approving the short sale would normally deem as non-negotiable, unlike the settlement or closing fee. 57. The signed HUD-1 Settlement Statement, dated May 27, 2011, reflects $2,676.72 in property taxes being paid on behalf of the seller. In point of fact, the actual amount due was $2,161.96. 58. | PAN AMERICAN charged $514.76 more than the actual amount due and retained this money for its own use. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) Section 626.611(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 others and received in conduct of business under the license or appointment. 15 ) ) (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (d) Section 626.8437(6), Florida Statutes, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. (e) ' Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. (63) Section 626.9541(1)(0)(1), Florida Statutes, which provides that it is a violation to knowingly collect a sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code. (g) Section 626.780(1), Florida Statutes, which provides that a person may not knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the commission. COUNT VUI 59. The allegations in paragraphs 1-9 are hereby realleged and fully incorporated herein by reference. 60. On or about March 30, 2011, PAN AMERICAN was settlement agent for purchase of property located on Somerset Park Drive in Tampa, Florida, PAN AMERICAN file number PA1 1-382. 16 ) ) 61. This transaction was a short sale, which means the proceeds fall short of the balance of debts, and the seller is to receive no funds from the sale of the subject property. 62. As part of the short sale approval process, the lender’s approval of the settlement charges being paid by the seller would have been necessary. 63. The HUD-1 Settlement Statement reflects a total of $4,051.80 being paid to the seller’s condominium association. However, the only check written to the association according to files located in PAN AMERICAN’s file reflects a payment of $2,814.80, a difference of $1,237. 64. The HUD-1 Settlement Statement reflects PAN AMERICAN quoted impermissible premium and charges in excess of the actual cost and retained this money for its own use. IT IS THEREFORE CHARGED that, PAN AMERICAN has violated or is 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 its licenses and appointments: (a) 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. (b) Section 626.611(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 17 insurers or insureds or beneficiaries or others and received in conduct of business under the license or appointment. (c) Section 626.8437(7), Florida Statutes, which provides that it is a violation to misappropriate, convert, or unlawfully withhold moneys belonging to title insurers or insureds or others received in conduct of business under the license or appointment. (d) Section 626.8437(6), Florida Statutes, which provides that it is a violation to use fraudulent or dishonest practices in the conduct of business under the license or appointment. (e) Section 626.561(1), Florida Statutes, which provides that all premiums, return premiums, or other funds belonging to insurers or others received by an agent, insurance agency in transactions under the license shall be trust funds so received by the licensee in a fiduciary capacity; and the licensee shall account for and pay the same to the insurer, insured, or other person entitled thereto. (f) Section 626.9541(1)(o)(1), Florida Statutes, which provides that it is a violation to knowingly collect a sum as a premium or charge for insurance, which is not then provided, or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this code. (g) Section 626.780(1), Florida Statutes, which provides that it is a violation to knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the commission. WHEREFORE, PAN AMERICAN, is 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, 18 626.844, 626.8437, 626.8443, and 626.8457, 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 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) Your name, address, and telephone number, and facsimile number (if any). ) ) (b) The name, address, telephone number, facsimile number of your attorney or qualified representative (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 you received this Notice of Intent to Issue Cease and Desist Order. (e) A statement including the file number of this Notice of Intent to Issue Cease and Desist Order. _—_ 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. 20 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 this 3” day of Mauy 2014. Gregory Thomas Director, Agent & Agency Services 21 da ) 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: Pan American Title, 8220 Hanley Road, Tampa, FL by U.S. Mail and N. Burton Williams, P.A., 324 South Hyde Park Avenue, Suite 275, Tampa, FL 33606 by Certified Mail this @" day of (NOW _, 2014. Division of Legal Services 200 East Gaines St. 612 Larson Building Tallahassee, Florida 32399-033 Florida Bar Number 30942 (850) 413-4156 Zaynab.salman@myfloridacfo.com 22 STATE OF FLORIDA DEPARTMENT OF FINANCIAL SERVICES IN THE MATTER OF: CASE NO.: 144193-14-AG PAN AMERICAN TITLE COMPANY 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. J am requesting disposition of this matter as indicated below. (CHOOSE ONE) 1 EJ I do not dispute any of the Department’s factual allegations and I do not desire a hearing. J-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. I 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 call, 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. 1 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.: 23

Docket for Case No: 14-002706