Aug 25 2010 15:26 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:26PM PLS FILED DEC 17 2009 Docketed by QQ. nepisteTING ALEX SINK CHIEF FINANCIAL OFFICER STATE OF FLORIDA IN THE MATTER OF: CASE NO,: 107002-09-AG DANIEL JOSEPH DOAN ADMINISTRATIVE COMPLAINT DANIEL JOSEPH DOAN 137 James Place Maitland, Florida 32751 You, DANIEL JOSEPH DOAN, license LD. # A069487, 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 an insurance agent in this state, as a reault of which it is alleged: GENERAL ALLEGATIONS 1, Pursuant to Chapter 626, Florida Statutes, you, DANIEL JOSEPH DOAN, are currently licensed in this state as a life and variable annuity agent, a life, health and variable annuity agent, a life agent, a life and health agent, and a health agent. 2, At all times pertinent to the dates and occurrences referted to herein, you, DANIEL JOSEPH DOAN, were licensed in this state as a life and variable annuity agent, a life, health and variable annuity agent, a life agent, 4 life and health agent, and a health agent, 3. Pursuant to Chapter 626, Florida Statutes, the Florida Department of Financial Services (“Department”) has jurisdiction over your insurance licenses and appointments. Aug 25 2010 15:27 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:26PM P16 CQUNTI 4, The above general allegations ate hereby realleged and fully incorporated heroin by reference. 5. On February 22, 2006, Arthur Eugene West, Jr. (“Weai”) met with D.D’A. of The Villages, Florida, | 6. On that day, West sold D.D'A. a variable annuity with Allianz Life Insurance Company of North America (“Allianz”). 7. West engaged in the solicitation of insurance and the transaction of inayrance when he attempted to persuade, and did persuade, D.D’A, to purchase a variable annuity with Allianz, 8, West in relation to D.D’A.: 1) engaged in preliminary negotiations; 2) described the benefits or terms of insurance coverage, including premiums or rates of return; 3) distributed an invitation to contract; 4) made general or specific recommendations as to insurance products; 5) completed orders or applications for insurance products; and/or 6) compared insurance products, advising as to insurance matters, of interpreting policies or coverages. 9% West was required to be Licensed as a variable annuity agent in order to sell the Allianz variable annuity to D.D’A, | 10, West was not licensed as a variable annuity agent at the time he sold the Allianz variable annuity to D.D’A. 11, West was only licensed as a health agent at the time he sold the Allianz variable annuity to D.D'A. 12. You, DANIEL JOSEPH DOAN, knew, or should have known, that West was not licensed as a variable annuity agent at the time he sold the Allianz variable annuity to D.D’A. Aug 25 2010 15:27 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:26PM P17? 13, You, DANIEL JOSEPH DOAN, knew, or should have known, that West was not licensed to sell variable annuities at the time he sold the Allianz variable annuity to D.D’A, 14, West was required to. be appointed with Allianz in order to sell the Allianz variable annuity to D.D’A. 15. West was not appointed with Allianz at the time he sold the Allianz variable annuity to D.D’A, | 16. You, DANIEL JOSEPH DOAN, knew, or should have known, that West was not appointed with Allianz at the time he sold the Allianz variable annuity to D.D’A. 17. West violated section 626,112(2), Florida Statutes. 18, You, DANIEL JOSEPH DOAN, did not meet with D.D°A. regarding the purchase of the Allianz variable annuity. : 19, Nevertheless, you, DANIEL JOSEPH DOAN, signed D,D’A.’s annuity application and related documentation. IT IS THEREFORE CHARGED that you, DANIEL JOSEPH DOAN, have violated or are accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your licenses as a Florida insurance agent: (a) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance, [Section 626.611(7), Florida Statutes]; (b) Demonstrated Jack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.611(8), Florida Statutes}; Aug 25 2010 15:27 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + S584o7r4ogr Aug. 25 2616 83:25PM Pls (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.61 1(9), Florida Statutes]; (a) 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}; and . (e) Knowingly aiding, assisting, procuring, advising, or abetting any person in the violation of or to violate a provision of the insurance code or any order or rule of the department, commission, or office, [Section 626.621(12), Florida Statutes]. 20. The above general allegations are hereby realleged and fully incorporated herein by reference, 21. On February 22, 2006, West met with V.D’A. of The Villages, Florida. 22. On that day, West sold V.D°A. a variable annuity with Allianz. 23. West engaged in the solicitation of insurance and the transaction of insurance when he attempted to persuade, and did persuade, V.D’A. to purchase a variable annuity with Allianz. 24, Weat in relation to V.D’A.: 1) ‘engaged in preliminary negotiations; 2) described the benefits or terms of insurance coverage, including premiums or rates of return; 3) distributed an invitation to contract; 4) made general or specific recommendations as to insurance products; 5) completed orders or applications for insurance products; and/or 6) compared insurance products, advising as to insurance matters, or interpreting policies or coverages. 25. West was required to be licensed aa a variable annuity agent in order to sell the Allianz variable annuity to V.1D"A. Aug 25 2010 15:28 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:29PM Plo 26, West was not licensed as a variable annuity agent at the time he sold the Allianz variable annuity to V.D'A. 27, West was only licensed aa a health agent at the time he sold the Allianz variable annuity to V.D'°A. 28. You, DANIEL JOSEPH DOAN, knew, or should have known, that West was not licensed as a variable annuity agent at the time he gold the Allianz variable annuity to V.D’A, "99. You, DANIEL JOSEPH DOAN, knew, ot should have known, that West was not licensed to sell variable annuities at the time he sold the Allianz variable annuity to V.D'A, 30, West was required to be appointed with Allianz in order to sell the Allianz variable annuity to VDA. 31, West was not appointed with Allianz at the time he sold the Allianz variable annuity to V.D’A. 32. You, DANIEL JOSEPH DOAN, knew, or should have known, that West was not appointed with Allianz at the time he sold the Allianz variable annuity ta V.D’A, 33. West violated section 626,112(2), Florida Statutes. 34, You, DANIEL JOSEPH DOAN, did not meet with V.D’A. regarding the purchase of the Allianz variable annuity, 35, Nevertheless, you, DANIEL JOSEPH DOAN, signed -V.D’A.’s annuity application and related documentation. IT IS§ THEREFORE CHARGED that you, DANIEL JOSEPH DOAN, have violated or are accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your licenses as a Florida insurance agent: Aug 25 2010 15:28 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2618 83:29PM Pee (a) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [Section 626.611(7), Flotida Statutes); (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment, [Section 626.611(8), Florida Statutes]; (c) Fraudulent or dishonest practices in the conduct of business under the license or appointment. (Section 626.611(9), Florida Statutes]; (d) 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); and | (e) Knowingly aiding, assisting, procuring, advising, or abetting any person in the violation of or to violate a provision of the insurance code or any order or rule of the department, commission, or office. [Section 626,621(12), Florida Statutes]. QUNT III 36. The above general allegations are hereby realleged and fully incorporated herein by reference, ) 37. At all times pertinent to the dates and occurrences referred to herein, you, DANIEL JOSEPH DOAN, were the President and owner of Lake Advisory Group, Inc, (“Lake Advisory Group”). 38, At all times pertinent to the dates and occurrences referred to herein, Lake Advisory Group acted as, and was, an insurance agency. 39. At all times pertinent to the ‘dates and occurrences referred to herein, Lake Advisory Group was required to be licensed or registered as an insurance agency. Aug 25 2010 15:28 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + S584o7r4ogr Aug. 25 2818 83:29PM Pel 40. At all times pertinent to the dates and occurrences referred to herein, Lake Advisory Group was not licensed or registered as an insurance agency. 4]. Lake Advisory Group violated section 626.112(7), Florida Statutes. 42. You, DANIEL JOSEPH DOAN, were required to have Lake Advisory Group licensed or registered as an insurance agency, IT 18 THEREFORE CHARGED that you, DANIEL JOSEPH DOAN, have violated or are accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your licenses as a Florida insurance agent: : (a) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [Section 626,611(7), Florida Statutes}; (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment, [Section 626,611(8), Florida Statutes]; (c) ‘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 ot appointment. [Section 626,621(2), Florida Statutes]; and (d) Knowingly aiding, assisting, procuring, advising, or abetting any person in the violation of or to violate a provision of the insurance code or any order or rule of the department, commission, or office. [Section 626.621(12), Florida Statutes]. WHEREFORE, you, DANIEL JOSEPH DOAN, are hereby notified that the Chief Financial Officer intends to enter an Order suspending or revoking your licenses and appointments ag an insurance agent or to impose such penalties as may be provided under the Aug 25 2010 15:29 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:38PM P22 provisions of Sections 626.611, 626.621, 626.681, 626.691, 626,692, 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 28-106, 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 Tracey Real, DFS Agency Clerk, at the Florida Department of Financial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, Florida 32399-0390. Your written reaponse must be reccived 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: Aug 25 2010 15:29 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:38PM P23 (a) The name, address, and telephone number, and facsimile number (if any) of the respondent (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 shal] 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. (e) A statement including the file number of the administrative complaint. 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 of 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 confererice 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 Aug 25 2010 15:29 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Aug. 25 2616 83:38PM P24 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 outlingd 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 ag 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 attormey will discuss this matter with you until the response has been received by the Department. DATED and SIGNED this / A day of + 2009, “ay Lleyn ey) 2 2009, ; 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: 10-008291PL