Petitioner: DEPARTMENT OF FINANCIAL SERVICES, DIVISION OF INSURANCE AGENTS AND AGENCY SERVICES
Respondent: MARK A. HEFFERNAN
Judges: JOHN G. VAN LANINGHAM
Agency: Department of Financial Services
Locations: Miami, Florida
Filed: Jan. 21, 2014
Status: Closed
Settled and/or Dismissed prior to entry of RO/FO on Friday, February 14, 2014.
Latest Update: Dec. 24, 2024
FILED
DEC 202013
Docketed by__ 7
CASE NO.: 143480-13-AG
CHIEF FINANCIAL OFFICER
JEFF ATWATER
STATE OF FLORIDA
IN THE MATTER OF:
MARK A. HEFFERNAN
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ADMINISTRATIVE COMPLAINT
TO: MARK A. HEFFERNAN
1000 NW North River Drive, Ste. 104
Miami, Florida 33136
MARK A. HEFFERNAN
1000 NW 14" Street
Miami, Florida 33136
You, MARK A. HEFFERNAN, are hereby notified that the Department of Financial
Services (hereinafter the “department”) has caused to be made an investigation of your bail bond
insurance related activities in this state, as a result of which it is alleged that:
GENERAL ALLEGATIONS
1. You, MARK A. HEFFERNAN, are currently licensed as a limited surety agent to
transact bail bond business in this state.
2. You, MARK A. HEFFERNAN, were licensed as a limited surety agent in this
state at all times pertinent to the allegations of this administrative complaint.
3. At all times pertinent to the allegations of this administrative complaint, you,
MARK A. HEFFERNAN, were an officer and director of Surety Corporation of America Inc., a
Florida corporation doing business in this state as the managing general agent for United States
Specialty Insurance Company.
4. Pursuant to Section 648.295, Florida Statutes, all premiums, return premiums, or
other funds belonging to insurers or received by a person licensed pursuant to Chapter 648 in
transactions under his license are trust funds received by the licensee in a fiduciary capacity, and
the licensee must account for and the pay the same to the insurer, insured, or other person entitled
to such funds.
COUNT I
5. Allegations are hereby realleged and fully incorporated herein by reference.
6. On or about January 4, 2013, M. Q. and C. T. approached limited surety agent
Jacqueline Hill to write a bail bond on behalf of E. G., who was incarcerated in the Broward
County jail, in the amount of $250,000.00. Jacqueline Hill was not authorized to write a bond in
that amount and therefore approached you, MARK A HEFFERNAN, seeking authorization to
issue the bond. You, MARK A. HEFFERNAN, as an officer of Surety Corporation of America,
Inc., managing general agent for the insurer, United States Specialty Insurance Company,
authorized the issuance of the bond in the amount of $250,000. M. Q. and C. T., as indemunitors,
posted $100,000 in collateral for the bond and paid $25,000 as the bond premium. Jacqueline
Hill received both the collateral payment and the bond premium payment and a receipt for such
was duly issued. The bond was issued by United States Specialty Insurance Company and E. G.
was released from the jail. You, MARK A. HEFFERNAN, as an officer of Surety Corporation
of America, Inc., managing general agent for the insurer, received the premium payment from
Jacqueline Hill.
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7. On or about March 25, 2013, you, MARK A. HEFFERNAN, as an officer of
Surety Corporation of America, managing general agent for United States Specialty Insurance
Company, and pursuant to Sections 903.20 and 903.22, Florida Statutes, caused the surrender of
the above mentioned bond and the rearrest of E. G., prior to the final termination of the surety’s
liability on the bond and without the defendant having violated the contract with the surety. Asa
result, and pursuant to Rule 69B-221.110, Florida Rules of Administrative Procedure, M. Q. and
C. T. were entitled to a full refund of the $25,000.00 bond premium.
8. You, MARK A. HEFFERNAN, as an officer of Surety Corporation of America
failed to refund the $25,000 premium payment or any part thereof to the indemnitors or anyone
so entitled, but rather misappropriated, converted or wrongfully withheld the $25,000.00 and
retained it for your own use and benefit.
9. You, MARK A. HEFFERNAN, as an officer of Surety Corporation of America
have misappropriated, converted, or wrongfully withheld funds belonging to M. Q. and C. T. and
received in a bail bond transaction under the license. Demand has been made for return of the
funds, but you, MARK A. HEFFERNAN, have refused to do so. As a result, M. Q. and C. T.
have suffered a financial loss.
IT IS THEREFORE CHARGED that you, MARK A. HEFFERNAN, have violated or are
accountable under one or more of the following provisions of the Florida Insurance Code:
(a) Section 648.45(2)(e), Florida Statutes, which, provides that it is a violation to
demonstrate a lack of fitness or trustworthiness to engage in the bail bond business;
(b) Section 648.45(2)(h), Florida Statutes, which provides that it is a violation to
willfully misappropriate, convert, or unlawfully withhold moneys belonging to a surety, a principal,
or others and received in the conduct of business under the license.
(c) Section 648.45(2)G), Florida Statutes, which provides that it is a violation to
willfully fail to comply with or willful violate any proper order or rule of the department or willfully
violate any provision of this chapter or the insurance code;
(d) —_ Section 648.45(3)(c), Florida Statutes, which provides that it is a violation to
violate any law relating to the business of bail bond insurance or violation of any provision of the
insurance code;
(e) Section 648.45(3)(e), Florida Statutes which provides that it is a violation to be
found to be a source of injury or loss to the public or detrimental to the public interest or being
found by the department to be no longer carrying on the bail bond business in good faith.
(63) Rule 69B-221.101(5), Florida Rules of Administrative Procedure, which
provides that a bail bond agent who has surrendered a principal and failed to properly refund the
premium when required by law shall be subject to discipline as provided in Chapter 648, Florida
Statutes.
NOTICE OF RIGHTS
You have the right to request a proceeding to contest this action by the Department of
Financial Services (“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 Julie
Jones, Agency Clerk, at the Florida Department of Financial Services, 612 Larson Building, 200
East Gaines Street, Tallahassee, Florida 32399-0390. 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.
) J
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 (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 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.
(e) Astatement including the file number to 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
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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 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.
thy
DATED and SIGNED this 20 dayof_DeCernoe © , 2013.
Gregory Thomas
Director, Agent & Agency Services
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CERTIFICATE OF SERVICE
I HEREBY CERTIFY that a true and correct copy of the foregoing Administrative
Complaint has been furnished by Electronic Mail and or Certified Mail to:
mark@bailbonds.com; MARK A. HEFFERNAN, 1000 NW North River Drive, Ste. 104, Miami,
Florida 33136; MARK A. HEFFERNAN, 1000 NW 14" Street, Miami, Florida 33136 this
20th day of Oecember_, 2013.
ES A. BOSSART, ESQUIRE
partment of Financial Services
Division of Legal Services
612 Larson Building
Tallahassee, Florida 32399-0333
Tel.: (850) 413-4125
Docket for Case No: 14-000295PL
Issue Date |
Proceedings |
Feb. 14, 2014 |
Order Closing File and Relinquishing Jurisdiction. CASE CLOSED.
|
Feb. 14, 2014 |
(Petitioner's) Notice of Voluntary Dismissal filed.
|
Feb. 12, 2014 |
Letter to Judge Van Laningham from James Bossart requesting extension of time to respond to Initial Order filed.
|
Jan. 28, 2014 |
Order Granting Extension of Time.
|
Jan. 28, 2014 |
Letter to Judge Van Laningham from James Bossart requesting 14 day extension to respond to Initial Order filed.
|
Jan. 22, 2014 |
Initial Order.
|
Jan. 21, 2014 |
Administrative Complaint filed.
|
Jan. 21, 2014 |
Statement of Material "Facts" in Dispute filed.
|
Jan. 21, 2014 |
Election of Proceeding filed.
|
Jan. 21, 2014 |
Agency referral filed.
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