DA-/bIF PL - FILBO FEB 25 amp THE TREASURER OF THE STATE OF FLORIDA tT DEPARTMENT OF INSURANCE Insurance end ner Tom GALLAGHER STN ete ae mates IN THE MATTER OF: CASE NO. 42249-02-AG ENRIQUE RAFAEL SCHIEL / ADMINISTRATIVE COMPLAINT 8254 NW 103" Street Hialeah, Florida 33016-2202 Lan] TO: ENRIQUE RAFAEL SCHIEL _ 6061 Collins Avenue, Apt. 23D SB CY Miami Beach, Florida 33140-2270 ara nO fd ENRIQUE RAFAEL SCHIEL aw fel = orl = Need! ad QoQ You, ENRIQUE RAFAEL SCHIEL, are hereby notified that pursuant to Chapter 626, Florida Statutes, the Insurance Commissioner 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. You, ENRIQUE RAFAEL SCHIEL, are currently licensed in the state as a life, health, and variable annuity contracts salesman, and life and health insurance agent. 2. At all time pertinent to the dates and occurrences referred to in this Administrative Complaint you, ENRIQUE RAFAEL SCHIEL, were licensed as an insurance agent in this state. COUNT I 3. Paragraphs one through two are realleged and incorporated herein by reference. 4. On or about January 28, 1999 you, ENRIQUE RAFAEL SCHIEL, solicited and sold to Margaret Tooker of Jensen Beach, Florida, two Allstate Elite Index variable rate annuities which she desired to purchase. 5. You, ENRIQUE RAFAEL SCHIEL, represented to Margaret Tooker that the annuities would offer a possible annual return of up to 14% based upon the percentage point rise in the S& P 500 index. Your representations to Margaret Tooker were false and a material misstatement of fact as the actual annuity return is based upon what is called the participation rate i.e. only 60% of the percentage gain in the S & P 500 index, and not 100%, and is therefore a lower return than represented. 6. You, ENRIQUE RAFAEL SCHIEL, on or about January 28, 1999, without Margaret Tooker’s knowledge or informed consent, submitted a false and fraudulent annuity application, Notice to Applicant of Replacement, and Assignment to the insurer with the false signatures of Margaret Tooker fraudulently affixed thereto. 7. You, ENRIQUE RAFAEL SCHIEL, failed to provide Margaret Tooker with a comparison of benefits comparing her then in force U.S. Life annuity with the Allstate annuities being sold by you so that she could make an informed choice. You, ENRIQUE RAFAEL SCHIEL, without Margaret Tooker’s knowledge or informed consent, submitted a false Notice to Applicant Regarding Replacement of Life Insurance to the insurance company with the signature of Margaret Tooker fraudulently affixed thereto, representing that she did not desire any such comparison to be provided. This representation made by you, ENRIQUE RAFAEL SCHIEL, to an insurance company was false and a material misstatement of fact. 8. Margaret Tooker would not have purchased the policy if she had been made aware of the actual annuity terms and provisions as well as the fraudulent signatures. You, ENRIQUE RAFAEL SCHIEL, were aware of these facts. IT IS THEREFORE CHARGED that you, ENRIQUE RAFAEL SCHIEL, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the State Treasurer and Insurance Commissioner which constitute grounds for the suspension or revocation of your insurance licenses and eligibility for licensure: (a) Willful misrepresentation of any insurance policy or annuity contract or willful deception with regards to any such policy or contract. {Section 626.611(5), Florida Statutes}; (b) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [Section 626.611(7), Florida Statutes}; (c) Demonstrated lack of reasonable adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.611(8), Florida Statutes. (d) Fraudulent or dishonest practices in the conduct of business under the license or permit. [Section 626.611(9), Florida Statutes]; (e) 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 626.611(13), Florida Statutes] (f) 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] (g) False statements and entries. — 1. Knowingly: a. Filing with any supervisory or other public official, b. Making, publishing, disseminating, circulating, c. Delivering to any person, d. Placing before the public, e. Causing, directly or indirectly, to be made, published, disseminated, circulated, delivered to any person, or placed before the public, any false material statement. [Section 626.9541(1)(e)1, Florida Statutes]. (h) — Knowingly making a material omission in the comparison of a life, health, or Medicare supplement insurance replacement policy with the policy it replaces for the purpose of obtaining a fee, commission, money or other benefit from any insurer, agent, broker, or individual. [Section 626.9541(1)(k)2, Florida Statutes] 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 4 Agency Clerk, at the Florida Department of Insurance, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0333. 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 REVOCATION WILL BE ENTERED AGAINST YOU. If you request a proceeding, you must 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) A reference to the notice, order to show cause, administrative complaint, or other communication that the party has received form the agency. 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 of Insurance. DATED and SIGNED this 25th __ day of February , 2001 WAGs Ri My, “ CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing Administrative Complaint was mailed by certified mail to. ENRIQUE RAFAEL SCHIEL, 6061 Collins Avenue, Apt. 23D, Miami Beach, Florida 33140-2270, and to ENRIQUE RAFAEL SCHIEL, 8254 NW 103” Street, Hialeah, Florida 33016-2202 on this 25th_dayof February _, 2002. “essa A. BOSSART, ESQUIRE i vision of Legal Services 612 Larson Building Tallahassee, FL 32399-0333 (850) 413-4124

Docket for Case No: 02-001619PL