STATE OF FLORIDA

DIVISION OF ADMINISTRATIVE HEARINGS

DEPARTMENT OF STATE, )

DIVISION OF LICENSING, )

)

Petitioner, )

)

vs. ) CASE NO. 86-2561

)

JOHN JOSEPH HEINRICH, )

)

Respondent. )

)

RECOMMENDED ORDER

A final hearing was held in this case on October 23, 1986 in Tallahassee, Florida, before Donald D. Conn, a duly designated Hearing Officer of the Division of Administrative Hearings. The Department of State, Division of Licensing (Petitioner), was represented by James V. Antista, Esquire, but John Joseph Heinrich (Respondent) did not appear and was not represented at the hearing. Petitioner called one witness and introduced six exhibits. A transcript of the hearing was filed on November 7, 1986. The parties did not timely file proposed findings of fact.

FINDINGS OF FACT

1. At all times material hereto, Respondent held a class "H" certificate of registration numbered GH-8500083 issued by Petitioner pursuant to Chapter 496, F.S.

   
   

2. According to Respondent's application for registration which was submitted on or about January 23, 1984, Respondent is the President of an organization known as, "Citizens Benevolent Association - Displaced Inmate Dependent Mission." The purpose of that organization is to give housing, employment, food, clothing and toys to the dependents of inmates in central Florida. It was further indicated that the organization would raise less than

   $4000 each year, and contributions it received would be used to carry out the purpose of the organization.

   
   

3. In February, 1986, Willie Rister, regional office supervisor and investigator for Petitioner, attempted to meet with Respondent concerning his charitable organization, and particularly its financial records. After two unsuccessful attempts to meet with Respondent, Rister contacted Respondent on March 12, 1986, and was told that all financial records of the organization had already been turned over to him.

   
   

4. Respondent's financial records fail to reveal or inaccurately reveal the income and expenses of the organization. Specifically, they fail to account for all contributed funds and in-kind contributions, as well as disbursements. It appears that the organization's funds and Respondent's personal funds have been comingled, and no distinct records have been kept. It is not possible to determine which expenditures are personal and which are to carry out the purpose

   of the organization. The financial records are simply a listing of receipts without any explanation of the source or method of raising these funds, which appear to total approximately $9000 for 1985.

   
   

5. Rister testified that he was unable to find any people who had been helped by Respondent or his organization. Contributed funds were used primarily for the personal expenses of Respondent or his family, or here not fully accounted for and were not used for any charitable purpose associated with the organization.

   
   

6. Respondent advertised his organization in the Sebring News, indicating that his organization finds jobs and housing for the dependents of inmates. There is no evidence that his organization ever performed these services, and in fact the evidence presented indicates it did not.

   
   

   CONCLUSIONS OF LAW

   
   

7. The Division of Administrative Hearings has jurisdiction over the parties and subject matter in this cause. Section 120.57(1), F.S.

   
   

8. The provisions of Chapter 496, F.S., authorize Petitioner to take disciplinary action against registrants who have expended funds raised for charitable purposes for personal expenses, who have failed to keep accurate fiscal records of income and expenses, or who have obtained funds by false promise or misrepresentation. See Sections 496.06, 496.09, 496.11(3) and 496.1315(1), F.S.

   
   

9. In this case, Petitioner has the burden of proof. Bowling v. Department of Insurance, 394 So.2d 165 (Fla. 1st DCA 1981). Petitioner has sustained its burden by establishing that Respondent totally failed to keep adequate financial records, and has used funds that were raised for charitable purposes for personal expenses. Respondent failed to appear at this hearing to offer any proof in his defense, and the evidence presented by Petitioner proves his violation of the above-cited statutes.

RECOMMENDATION

Based upon the foregoing, it is recommended that Petitioner issue a Final Order revoking Respondents certificate of registration numbered GH-8500083.

DONE AND ENTERED this 1st day of December, 1986 in Tallahassee, Florida.

DONALD D. CONN, Hearing Officer Division of Administrative Hearings The Oakland Building

2009 Apalachee Parkway

Tallahassee, Florida 32399

Filed with the Clerk of the Division of Administrative Hearings this 1st day of December, 1986.

COPIES FURNISHED:

Honorable George Firestone Secretary of State

The Capitol

Tallahassee, Florida 32399

James V. Antista, Esquire Department of State

The Capitol

Tallahassee, Florida 32399

John Joseph Heinrich

109 North Self Avenue Avon Park, Florida 33825

Docket for Case No: 86-002561

Orders for Case No: 86-002561