sermon | € a oe, ; FINANCIAL SERVICES PILED: AN 21 05 TOM GALLAGHER CHIEF FINANCIAL OFFICER STATE OF FLORIDA Docketed by rae IN THE MATTER OF: CASE NO. 79318-05-AG WARREN ALLEN MARMORSTEIN ! NK-OSSIPL ADMINISTRATIVE COMPLAINT TO: WARREN ALLEN MARMORSTEIN 564010 Arbor Club Way Boca Raton, Florida 33433 You, WARREN ALLEN MARMORSTEIN, 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: GENERAL ALLEGATIONS 1. You, WARREN ALLEN MARMORSTEIN, are currently licensed in the state as a life, and variable annuity contracts salesman, life insurance agent, life and health insurance agent and health insurance agent. 2. At all time pertinent to the dates and occurrences referred to in this Administrative Complaint you, WARREN ALLEN MARMORSTENN, were licensed as an insurance agent in this state. 3. Pursuant to Section 627.403, Florida Statutes, an insurance premium is the consideration for insurance, by whatever name called. Any “assessment,” or any “membership,” “policy,” “survey,” “inspection,” “service,” or similar fee or charge in consideration for an insurance contract is deemed part of the premium. COUNT I 4. Paragraphs one through three are realleged and incorporated herein by reference. 5. On or about August 6, 2003, you, WARREN ALLEN MARMORSTEIN, induced Nancy Arena of Boca Raton, Florida to enter into a contract with you for “insurance services”. The contract provides that you, WARREN ALLEN MARMORSTEIN, would waive your billable fee should Nancy Arena purchase your recommended insurance products and should she elect not to purchase the insurance products, Nancy Arena would pay to you your billable fee at $150 an hour. 6. You, WARREN ALLEN MARMORSTEIN, fraudulently obtained Nancy Arena’s signature on the engagement letter without her knowledge or informed consent. At no time pertinent to the dates and occurrences referred to herein did you inform Nancy Arena that she was entering into a service contract with you at a billable rate of $150 an hour. Nancy Arena would not have executed the engagement letter if she had been made aware of this. 7. Nancy Arena elected not to purchase any insurance product from you. You, WARREN ALLEN MARMORSTEI, subsequently demanded that Nancy Arena pay to you $6700 as compensation purportedly due under the contract for your “insurance services”. You, WARREN ALLEN MARMORSTEIN, have filed a civil action in the Broward County Court in an attempt to collect payment. Nancy Arena has incurred legal expenses as a result. 8. You, WARREN ALLEN MARMORSTEIN, did not provide any “insurance service” to Nancy Arena that any insurance agent seeking to sell an insurance policy would not have provided. 9. This contract and the $6700 charge constitutes an illegal and excessive insurance premium or charge pursuant to Section 627.403 and 626.9541(1)(0), Florida Statutes. IT IS THEREFORE CHARGED that you, WARREN ALLEN MARMORSTEI, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the State Chief Financial Officer 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 626.61 1(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) 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] (e) 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) Knowingly collecting any 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. [Section 626.9541(1)(0)1, Florida Statutes] (h) Knowingly collecting as a premium or charge for insurance any sum in excess of or less than the premium or charge applicable to such insurance. [Section 626.9541(1)(0) 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 Agency Clerk, at the Florida Department of Financial Services, 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. [f 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 4 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 Financial Services. DATED and SIGNED this oll day of KAREN CHANDLER Deputy Chief Financial Officer CERTIFICATE OF SERVICE [THEREBY CERTIFY that a true and correct copy of the foregoing Administrative Complaint was mailed by certified mail to: WARREN ALLEN MARMORSTEIN, 564010 t _— Arbor Club Way, Boca Raton, Florida 33433 on this Z is day of « lan Uat. ry , 2005. JAMES A. BOSSART, ESQ vision of Legal Services 612 Larson Building Tallahassee, FL 32399-0333 (850) 413-4124

Docket for Case No: 05-000551PL