REPHESENTING ALEX SINK CHIEF FINANCIAL OFFICER STATE OF FLORIDA O71 YaIo PL IN THE MATTER OF: CASE NO.: 87688-07-AG OSCAR HALL ADMINISTRATIVE COMPLAINT TO: OSCAR HALL 51.0 Highview Terrace North Brandon, Florida 33510 You, OSCAR HALL, license ID. #4108750, are 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 limited surety agent in this state, as a result of which it is alleged: GENERAL ALLEGATIONS 1. Pursuant to Chapter 648, Florida Statutes, you, OSCAR HALL, are currently licensed in this state as a resident life agent, life and health agent, general lines agent, and limited surety agent. 2. Atall times pertinent to the dates and occurrences referred to herein, you, OSCAR HALL, were licensed in this state as a resident life agent, life and health agent, general lines agent, and limited surety agent. 3. Pursuant to Chapter 648, Florida Statutes, the Florida Department of Financial Services (“Department”) has jurisdiction over your life agent, life and health agent, general lines agent, and limited surety agent licenses and appointments. COUNT I 4. The allegations in paragraphs 1 through 3 are hereby realleged and fully incorporated by reference. _ 5. On August 28, 1987, you, OSCAR HALL, entered into an Executing Agent’s Contract with Accredited Surety and Casualty Company, Inc. or Accredited Bond Agencies, Inc. 6. Accredited Surety and Casualty Company, Inc. is an insurer, and Accredited Bond Agencies, Inc. is a managing general agent. 7. Pursuant to the Executing Agent’s Contract, you, OSCAR HALL, were required to pay premiums to Accredited Bond Agencies, Inc. by the effective date of the bond(s) you, ‘OSCAR HALL, your sub agents or employees wrote. 8. Pursuant to the Executing Agent’s Contract, any loss due to forfeiture or | estreature of any bail bond executed by you, OSCAR HALL, your sub agents or employees, shall be borne entirely by you, OSCAR HALL. 9. As of December, 2005, you, OSCAR HALL, owed Accredited Surety and Casualty Company, Inc. $64,315.39 for your failure to comply with the Executing Agent’s Contract, excluding interest, attorneys’ fees and costs. 10. Of the $64,315.39, $42,455.42 was comprised of unpaid forfeitures/judgments related to bonds written for Elliott Shawn Campbell, and $17,141,86 was comprised of unpaid premiums. 11. On November 8, 2006, a Final Judgment was entered against you, OSCAR HALL, in the Circuit Court of the Ninth Judicial Circuit in and for Orange County, Florida in the Nu case styled Accredited Bond Agencies, Inc, et al. v. Oscar Hall, Case No 05-CA-10879. The Final Judgment requires you, OSCAR HALL to pay Accredited Bond Agencies, Inc. and Accredited Surety and Casualty Company, Inc. $77,860.47, plus any accrued interest. 12. You, OSCAR HALL, have not fully paid the Final Judgment. 13. You, OSCAR HALL, still owe Accredited Surety and Casualty Company, Ine. and Accredited Bond Agencies, Inc. for unpaid forfeitures/judgments related to bonds written for Elliott Shawn Campbell, and unpaid premiums. IT IS THEREFORE CHARGED that you, OSCAR HALL, have violated or are accountable under the following provisions of the Florida Insurance Code and Rules of the Department which constitute grounds for the suspension or revocation of your licenses and appointments: (a) Guilty of misappropriation, conversion, or unlawful withholding of moneys belonging to a surety, a principal, or others and received in the conduct of business under a license. [Section 648.45(1)(h), Florida Statutes]. (b) Has demonstrated lack of good faith in carrying out contractual obligations and agreements. [Section 648.45(1)(1), Florida Statutes]. (c) Has failed to perform a contractual obligation or agreement with a managing general agent or insurer which results in an unrecovered loss due to nonpayment of a forfeiture or judgment by the licensee. [Section 648.45(1)(m), Florida Statutes]. (d) Failure or refusal, upon demand, to pay over to any insurer the bail bond agent represents or has represented any money coming into his or her hands which money belongs to the insurer. [Section 648.45(3)(d), Florida Statutes]. (e) All premiums, return premiums, or other funds belonging to insurers or others received by a person licensed pursuant to this chapter in transactions under her or his license are trust funds received by the licensee in a fiduciary capacity, and the licensee must account for and pay the same to the insurer, insured, or other person entitled to such funds. [Section 648.295(1), Florida Statutes]. (f) Violation of any law relating to the business of bail bond insurance or violation of any provision of the insurance code. [Section 648.45(3)(d), Florida Statutes). WHEREFORE, you, OSCAR HALL, are hereby notified that the Chief Financial Officer intends to enter an Order suspending or revoking your licenses and appointments or to impose such penalties as may be provided under the provisions of Sections 648.45, 648.46, 648.51, 648.52, 648.525, and 648.53, 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 28-106, 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 the General Counsel acting as 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 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) The name; address, and telephone number, and facsimile number (Gif any) of the tespondent (for the purpose of requesting a hearing in this matter, you are the "respondent"). (b) The name, address, telephone number, facsimile number of the attorney or qualified representative of the respondent (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 the respondent received notice of the administrative complaint. (ec) A statement including the file number to the administrative complaint. 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, 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 Siatutes. These proceedings are held before a State Administrative Law J udge 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. BO yay ly DATED and SIGNED this day of , 2007. N CHANDLER Deputy Chief Financial Officer 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: OSC. HALL, 510 Highyiew ig North, Brandon, Florida 33510, by Certified Mail this << / day of , 2007. , / / Robert : Alan Fox Senior Attorney Department of Financial Services Division of Legal Services . 612 Larson Building - 200 East Gaines Street Tallahassee, Florida 32399-0333 (850) 413-4106

Docket for Case No: 07-004310PL