Jan 3 2006 16:26 61/83/2666 16:26 S5ead4e749a7 LEGAL SERVICES PAGE 3 we Nf FLORIDA DEPARTMENT OF FINANCIAL SERVICES, ‘ FILED TOM GALLAGHER caeernanba DEC 2 mts IN THE MATTER OF: ; Doc ie JURIS TITLE, INC. CASE NO.: 83620-05-AG / ADMINISTRATIVE COMPLAINT TO: — Juris Title, Inc. Demetrios J. Voiklis, President 3811 Memorial Highway, Suite 107 Tampa, Florida 33615-5000 You, JURIS TITLE, INC., 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 a title insurance agency in this state, as a result of which it is alleged: GENERAL ALLEGATIONS 1. Pursuant to Chapter 626, Florida Statutes, at all times pertinent to the dates and occurrences referred to herein, you, JURIS TITLE, INC., were licensed in this state as a Title Insurance Agency (4-12) and are currently so licensed, license J.D, #E079888. 2, At all titnes pertinent to the dates and occurrences referred to herein, you, JURIS TITLE, INC., were 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 title insurance agency license and appointments, Jan 3 2006 16:26 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE Ve SS 4. At all times material herein, you, JURIS TITLE, INC., commingled escrow tax funds with personal and opetating accounts, misappropriated fiduciary premium funds, failed to reconcile escrow account statements, failed to disburse escrow funds in accordance with HUD requirements, and operated without a full-time licensed agent in charge of your branch location, all as will hereinafter be more fully set forth. COUNT I 5. The above general allegations are hereby realleged and fully incorporated herein by reference. 6. You, JURIS TITLE, INC., acting through your President, Demitrios Voiklis, caused fiduciary premium trust moneys to be utilized in payment of his personal obligations. IT IS THEREFORE CHARGED that you, JURIS TITLE, INC., have violated or are 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 your license and eligibility as a title insurance agency: (a) Demonstrated lack of fitness or trustworthiness to represent a title insurer through the issuance of its commitments, binders, policies of title insurance, or guarantees of title. [Section 626.8437(4), Florida Statutes]; (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626,.8437(5), Florida Statutes]: (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.8437(6), Florida Statutes]; (d) Misappropriation, conversion, or unlawful withholding of moneys belonging to title insurers or insureds or others and received in conduct of business under the license or appointment. [Section 626.8437(7), Florida Statutes]; (e) Violation of any provision of this act in the course of dealing under the license or appointment. [Section 626.844(2), Florida Statutes]; Ad Jan 3 2006 16:27 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE &5 ened aed (f) Failure or refusal upon demand to pay over to any title insurer that the appointee represents or has represented any money coming into the hands of such appointee and belonging to the title insurer. [Section 626.844(4), Florida Statutes]; (g) All funds received by a title insurance agent as described in subsection (1) shall be trust funds received in a fiduciary capacity by the title insurance agent and shall be the property of the person or persons entitled thereto. [Section 626.8473(2), Florida Statutes]: (h) All funds received by a title insurance agent to be held in trust shall be immediately placed in a financial institution that is located within this state and is a member of the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund. [Section 626.8473(3), Florida Statutes]; 0) Funds required to be maintained in escrow trust accounts pursuant to this section shall not be subject to any debt of the title insurance agent and shall be used in accordance with the terms of the individual escrow, settlement, or closing inspections under which the funds were accepted. [Section 626.8473(4), Florida Statutes); q) The title insurance agent shall maintain separate records of all receipts and disbursement of escrow, setilement or closing funds. [Section 626.8473(5), Florida Statutes]; and (k) A ttitle insurance agent, or any officer, director or employee thereof, or any person associated therewith as an independent contractor for bookkeeping or similar purposes, who converts or misappropriates funds received or held in escrow or in trust by such title insurance agent, or any person who knowingly receives or conspires to receive such funds commits: (c) If the funds converted or misappropriated are $20,000 or more, but less than $100,000, a felony of the second degree, punishable as provided in s. 775.082, s. 775.083, ot s, 775.084. [Section 626.8473(7)(c), Florida Statutes. COUNT TI 7, The above general allegations are hereby realleged and fully incorporated herein by reference. Jan 3 2006 16:27 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE &6 8. You, JURIS TITLE, INC., acting through your president, Demetrios Voiklis, failed to maintain monthly reconciliation of your escrow account, and failed to disburse escrow funds in compliance with approved HUD-1 settlement statements, and failed to maintain separate ledger cards for each real estate closing transaction for which funds were received in escrow. IT IS THEREFORE CHARGED that you, JURIS TITLE, INC., have violated or are accoutitable 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 your license and eligibility as a title insurance agency: (a) Demonstrated lack of fitness or trustworthiness to represent a title insurer through the issuance of its commitments, binders, policies of title insuratice, or guarantees of title. [Section 626.8437(4), Florida Statutes]: (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.8437(5), Florida Statutes]; (c) Misappropriation, conversion, or unlawful withholding of moneys belonging to title insurers or insureds or others and received in conduct of business under the license or appointment. [Section 626.8437(7), Florida Statutes]; (d) Violation of any provision of this act in the course of dealing under the license or appointment. [Section 626.844(2), Florida Statutes}; (e) _Alll funds received by a title insurance agent as described in subsection (1) shall be trust funds received in a fiduciary capacity by the title insurance agent and shal] be the property of the person or persons entitled thereto, [Section 626.8473(2), Florida Statutes]; (f) All funds received by a title insurance agent to be held in trust shall be immediately placed in a financial institution that is located within this state and is a member of the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund. [Section 626.8473(3), Florida Statutes]; Jan 3 2006 16:27 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE &? (g) Funds required to be maintained in escrow trust accounts pursuant to this section shall not be subject to any debt of the title insurance agent and shall be used in accordance with the terms of the individual escrow, settlement, or closing inspections under which the fimds were accepted. [Section 626.8473(4), Florida Statutes]; ch) The title insurance agent shall maintain separate records of all receipts and disbursement of escrow, settlement or closing funds. [Section 626.8473(5), Florida Statutes]; and COUNT III 9. The above general allegations are hereby realleged and fully incorporated herein by reference. 10, You, JURIS TITLE, INC., acting through your president, Demitrios Voiklis, deposited insurance premiums into your operating account for improper payment of operating expenses and personal expenses of your president. IT JS THEREFORE CHARGED that you, JURIS TITLE, INC., have violated or are 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 your license and eligibility as a title insurance agency: (a) | Demonstrated lack of fitness or trustworthiness to represent a title insurer through the issuance of its commitments, binders, policies of title insurance, or guarantees of title, [Section 626.8437(4), Florida Statutes]; (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.8437(5), Florida Statutes]; (ec) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.8437(6), Florida Statutes]; (d) Misappropriation, conversion, or unlawful withholding of moneys belonging to title insurers or insureds or others and received in conduct of business under the license or appointment. [Section 626.8437(7), Florida Statutes]; Jan 3 2006 16:28 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 8 (2) Violation of any provision of this act in the course of dealing undet the license or appointment. [Section 626.844(2), Florida Statutes]; (f) Failure or refusal upon demand to pay over to any title insurer that the appointee represents or has represented any money coming into the hands of such appointee and belonging to the title insurer. [Section 626.844(4), Florida Statutes]; (g) All funds received by a title insurance agent as described in subsection (1) shall be trust funds received in a fiduciary capacity by the title insurance agent and shall be the property of the person or persons entitled thereto. [Section 626.8473(2), Florida Statutes]; (bh) All funds received by a title insurance agent to be held in trust shall be immediately placed in a financial institution that is located within this state and is a member of the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund. [Section 626.8473(3), Florida Statutes]; (i) Funds required to be maintained in escrow trust accounts pursuant to this section shal] not be subject to any debt of the title insurance agent and shall be used in accordance with the terms of the individual escrow, settlement, or closing inspections under which the funds were accepted. [Section 626.8473(4), Florida Statutes]; Gi) The title insurance agent shall maintain separate records of all receipts and disbursement of escrow, settlement or closing funds. [Section 626,8473(5), Florida Statutes]; and (k) A title insurance agent, or any officer, director or employee thereof, or any person associated therewith as an independent contractor for bookkeeping or similar purposes, who converts of misappropriates funds received or held in escrow or in trust by such title insurance agent, or any person who knowingly receives or conspires to receive such funds commits: (c) If the funds are converted or misappropriated are $20,000 or more but less than $100,000, a felony of the second degree, punishable as provided in s. 775,082, s. 775.083, or 8. 775.084. [Section 626.8473(7)(c), Florida Statutes. Jan 3 2006 16:28 1/03/2086 16:26 ssa4s749a7 LEGAL SERVICES PAGE ae Nat COUNT IV 11. The above general allegations are hereby realleged and fully incorporated herein by reference. 12. You, JURIS TITLE, INC., acting through your president, Demitrios Voiklis, overcharged premium expense to customers as otherwise promulgated by your insurer and failed to remit premiums due to such underwriter. IT IS THEREFORE CHARGED that you, JURIS TITLE, INC., have violated or are 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 your license and eligibility as a title insurance agency: (a) Demonstrated lack of fitness or trustworthiness to represent a title insurer through the issuance of its commitments, binders, policies of title insurance, or guarantees of title. [Section 626,8437(4), Florida Statutes]; (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.8437(5), Florida Statutes]; (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626,8437(6), Florida Statutes]; (4d) Misappropriation, conversion, or unlawful withholding of moneys belonging to . title insurers or insureds or others and received in conduct of business under the license or appointment. [Section 626.8437(7), Florida Statutes]: (¢) Violation of any provision of this act in the course of dealing under the License or appointment. [Section 626.844(2), Florida Statutes]; ® Failure or refusal upon demand to pay over to any title insurer that the appointee represents or has represented any money coming into the hands of such appointee and belonging to the title insurer. [Section 626.844(4), Florida Statutes]; ag Jan 3 2006 16:28 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 16 None nan? (g) All funds received by a title insurance agent as described in subsection (1) shall be trust funds received in a fiduciary capacity by the title insurance agent and shall be the property of the person or persons entitled thereto. [Section 626.8473(2), Florida Statutes]; (h) All funds received by a title insurance agent to be held in trust shall be immediately placed in a financial institution that is located within this state and is a member of the Federal Deposit Insurance Corporation or the National Credit Union Share Insurance Fund. [Section 626.8473(3), Florida Statutes]; (i) Funds required to be maintained in escrow trust accounts pursuant to this section shall not be subject to any debt of the title insurance agent and shall be used in accordance with the terms of the individual escrow, settlement, or closing inspections under which the funds were accepted. [Section 626,8473(4), Florida Statutes]; Gj) The title insurance agent shall maintain separate records of all receipts and disbursement of escrow, settlement or closing funds. [Section 626,8473(5), Florida Statutes]; and (k) A title insurance agent, or any officer, director or employee thereof, or any person associated therewith as an independent contractor for bookkeeping or similar purposes, who converts or misappropriates funds received or held in escrow or in trust by such title insurance agent, or any person who knowingly receives or conspires to receive such funds commits: (c) If the funds are converted or misappropriated are $20,000 or more but less than $100,000, a felony of the second degree, punishable as provided in s. 775.082, s. 775.083, or s. 775.084, [Section 626.8473(7)(c), Florida Statutes, cé)) ‘Any person may not knowingly quote, charge, accept, collect or receive a premium for title insurance other than the premium adopted by the Commission. [Section 627,780(1), Florida Statutes]. COUNT V 13, The above general allegations are hereby realleged and fully incorporated herein by reference. Jan 3 2006 16:28 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 11 Ne et 14, You, JURIS TITLE, INC., acting through your president, Demitrios Voiklis, maintained a branch office located at 13101 Spring Hill Drive, Spring Hill, Florida, without a licensed full-time agent in charge at that location. IT IS THEREFORE CHARGED that you, JURIS TITLE, INC., have violated or are 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 your license and eligibility as a title insurance agency: (a) Violation of any provision of this act in the course of dealing under the license or appointment. [Section 626.844(2), Florida Statutes]; and (b) Each branch place of business established by an agent or agency, firm, corporation, or association shall be in the active full-time charge of a licensed title insurance agent who is appointed to represent one or more insureds. [Section 626.747(1), Florida Statutes]. WHEREFORE, you, JURIS TITLE, INC., are hereby notified that the Chief Financial Officer intends to enter an Order suspending or revoking your licenses and appointments as an insurance agency or to impose such penalties as may be provided under the provisions of Sections 626.611, 626.621, 626.681, 626.691, and 626.9521, 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 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 Jan 3 2006 16:29 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 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 from the agency. Ifa 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. Ifa 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. 10 12 Jan 3 2006 16:29 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 13 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 Aad day of Decowrber , 2005. ae M0, oiler KAREN CHANDLER Deputy Chief Financial Officer 11 Jan 3 2006 16:29 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE 14 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: JURIS TITLE, INC., Demetrios J. Voiklis, President, 5811 Memorial Highway, Suite 107, Tampa, Florida 33615-5000, by Certified Mail this MA day of. Daten han. , 2005, OD Pos. Dean Andrews Division of Legal Services 200 East Gaines St. 612 Larson Building Tallahassee, Florida 32399-033 (850) 413-4242 Phone (850) 487-4907 Fax Florida Bar Number 0001959 12 Jan 3 2006 16:29 B1/83/2686 16:26 8584874987 LEGAL SERVICES PAGE STATE OF FLORIDA DEPARTMENT OF FINANCIAL SERVICES DIVISION OF LEGAL SERVICES IN THE MATTER OF: JURIS TITLE, INC. CASE NO.: 83620-05-AG / ELECTION OF PROCEEDING Thave received and have read the Notice of the ADMINISTRATIVE COMPLAINT filed against me, including the Notice of Rights contained thetein, and I understand my options. I am requesting disposition of this matter as indicated below. (Choose one) 1] I do not dispute any of the Department’s factual allegations and I do not desire a hearing, I 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 revoking my licenses and appointments as may be appropriate. 2. Ido not dispute any of the Department's factual allegations and | 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: of [J Personally attend # hearing conducted by a department hearing officer in Tallahassee; or [] Attend that same hearing by way of a telephone conference call, 3. [] 1 do dispute one or more of the Department's factual allegations, [hereby request a hearing pursuant to Section 120.57(1), Florida Statutes, to be held before the Division of Administrative Hearings. 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: General Counsel as acting agency clerk, Florida Department of Financial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0333. Signature Print Name Date: Address: Phone No.: 13

Docket for Case No: 06-000012