New York State
Insurance Department


ISSUED: 4/23/2001

FOR IMMEDIATE RELEASE

NEW YORK STATE INSURANCE DEPARTMENT TAKES DISCIPLINARY
ACTIONS AGAINST COMPANIES, AGENTS, BROKERS & ADJUSTERS

            The New York State Insurance Department has taken disciplinary action against the following licensees. Those categorized as stipulations have been agreed to by the licensee. Department actions that result from Department hearings are subject to judicial review and possible stay of enforcement.

INSURANCE COMPANIES

LICENSEE

ADDRESS

PENALTY

Allstate Indemnity Co. 1 Allstate Drive
Farmingville, NY
$51,500 fine
Company violated Section 5106 of the Insurance Law and Regulation 68 which requires that payment or denial of a claim must be made within 30 calendar days of receipt of relevant information and/or proof of claim and requires that all overdue benefits bear an interest rate of 2% compounded and calculated on a 30 day pro-rata basis. Respondent agrees to review all no-fault claim payments made between August 1, 1999 through July 31, 2000 in its Brooklyn office and remit any interest due to claimants in the amount of $5.00 or more on late no-fault payments. The review shall be completed no later than one year from the date the stipulation is approved. In addition, a written report on the results of the review must be submitted by Respondent to the Department no later than 30 days after the completion of the review.

LICENSEE

ADDRESS

PENALTY

Allstate Insurance Company

1 Allstate Drive
Farmingville, NY

$82,520 fine

Violated Section 5106 of the Insurance Law and Regulation 68, which requires that payment or denial of a claim must be made within 30 calendar days of receipt of relevant information and/or proof of claim; that all overdue benefits bear an interest rate of 2% compounded and calculated an a 30 day pro-rata basis, and that the insurer must send verification forms within 10 business days after receipt of the no-fault application. Respondent agrees to review all no-fault claims payments made between August 1, 1999 through July 31, 2000 in its Brooklyn, New York office and remit any interest due to claimants in the amount of $5.00 or more on late no-fault payments. The review shall be completed no later than one year from the date the stipulation is approved. In addition, a written report on the results of the review must be submitted by Respondent to the Department no later than 30 days after the completion of the review.

LICENSEE

ADDRESS

PENALTY

American General Life Ins. Co. of New York

300 South State Street
yracuse, NY

$60,000 fine

Respondent violated Section 325(a) of the Insurance Law by not maintaining its book of accounts at its principal office; Section 2611 by failing to comply with the written informed consent requirements for HIV testing; Section 3201(b) by using a policy form in a manner not consistent with what was filed with and approved by the Superintendent; and violated Section 51.5(a) (5) of Department Regulation 60 by failing to comply with the disclosure and notification requirements.

LICENSEE

ADDRESS

PENALTY

Blue Ridge Insurance Co.
Blue Ridge Indemnity Co.

86 Hompeadow Street
P.O. Box 519
Simsbury, CT

$20,750 fine

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that they exceeded the maximum number of private passenger automobile non-renewals for the calendar year.

LICENSEE

ADDRESS

PENALTY

Continental Insurance Co.

CNA Plaza, 43 South
Chicago, IL

$27,740 fine

Violated Regulation 68 which requires that follow up verification forms must be sent if originals are not returned within 30 calendar days and requires that payment or denial of claims must be made within 30 calendar days of receipt of relevant information and/or proof of claim and that all overdue benefits must have a 2% interest rate compounded and calculated on a 30 day pro-rata basis. Violated Regulation 64 which requires that a detailed written estimate specifying all appropriate deductions must be received by the insured or the designated representative; that a certificate of repair form should be sent to the insured or the designated representative during the course of the negotiation; that the insurer may utilize computerized database to value a vehicle, including in its valuation, added options and/or prior damage; that deductions for previous damage must be measurable, discernable, itemized and specified as to dollar amount and such deductions must be detailed in the claim file; that insureds must be notified of their reimbursement rights for transportation expenses; that all total theft losses shall be reported to the NICB immediately, but no more than two business days following notice of claim; that all first and third party losses of $2,500 or more must be reported to the NICB no later than five calendar days after the sale of salvage, or, if the insured or claimant is permitted to retain the vehicle, no later than five calendar days after the date of loss payment; and that within 15 business days of receipt of notice of claim the company must send either written acknowledgement or payment to the claimant. Upon verification of coverage, the company must acknowledge the claim and provide the claimant with required information.

LICENSEE

ADDRESS

PENALTY

Excelsior Insurance Co.

62 Maple Avenue
Keene, NH

$11,000 fine

During the calendar years 1998 and 1999, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

Fidelity and Guaranty Ins. Co.

385 Washington St.
St. Paul, MN

$3,000 fine

During the calendar year of 1998 Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

First Safeco National Life Insurance Company of N.Y.

Collamer Office Building
6700 Old Collamer Road
Syracuse, NY

$5,000 fine

Respondent violated Section 1505(d) of the Insurance Law by receiving services from its parent without giving prior notification to the Superintendent and violated Section 219.5 of Department Regulation 34A by failing to maintain its advertisement files at its home office.

LICENSEE

ADDRESS

PENALTY

Great American Life Insurance Company of New York

40 Rector Street
New York, NY

$5,000.00 fine

Respondent violated Section 325(a) of the Insurance Law by not maintaining its books and records within the state; Section 1505(d) of the Insurance Law by receiving services from its parent without giving prior notification to the Superintendent; and Section 1507(a) of the Insurance Law by failing to establish a corporate presence within the state.

LICENSEE

ADDRESS

PENALTY

Lumbermen’s Mutual Casualty Co.

One World Trade Center
35th Floor
New York, NY

$50,000 fine

Respondent violated Section 2307(b) of the Insurance Law by issuing policy forms without filing and obtaining the approval of the Superintendent; Section 3426(c) of the Insurance Law by failing to mail or deliver cancellation notices to its insureds at least 15 days in advance of the date of cancellation; Section 5102(a)(5) of the Insurance Law by failing to make available optional basic economic loss coverage and by failing to provide notice explaining such coverage at the time of the application; Section 2344(e) of the Insurance Law which states that all ratings plan must be filed with the Superintendent for approval and once it has been approved, the use of the rating plan shall become mandatory and such plan shall be applied uniformly for eligible risks in a manner that is not unfairly discriminatory; Section 153.3(c) of Department Regulation 135 which states that except in connection with a federal purchasing group, no group policy shall be issued or renewed in this State unless it is in conformity with the general requirements; and Section 161.(e) of Department Regulation 129 which states that insurers are limited in applying the use of a composite rating plan to a risk with more than one exposure base.

LICENSEE

ADDRESS

PENALTY

Merchants Insurance Company
of New Hampshire

250 Main Street
Buffalo, NY

$2,250 fine

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

Merchants Mutual Insurance Co.

250 Main Street
Buffalo, NY 14202

$4,000 fine

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

Peerless Insurance Co.

180 Maiden Lane
New York, NY

$9,750 fine

During the calendar year 1998 and 1999, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

Pioneer Insurance Company

P.O. Box 10
Greenville, NY

$6,000

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

United States Fidelity and Guaranty Company

385 Washington St.
St. Paul, MN

$1,750 fine

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

LICENSEE

ADDRESS

PENALTY

William Penn Life Insurance Company of New York

100 Quentin Roosevelt Blvd.
Garden City, NY

$35,000 fine

Violated Section 1505(d) of the Insurance Law by failing to notify the Superintendent of Insurance of the services provided to and received from affiliated companies.

LICENSEE

ADDRESS

PENALTY

Worcester Insurance Company

120 Front Street, Suite 500
Worcester, MA

$1,250 fine

During the calendar year 1998, Company violated Section 3425(f)(1) and (2) of the Insurance Law in that it exceeded the maximum number of private passenger automobile non-renewals permitted for the calendar year.

AGENT/BROKER HEARINGS

REGION: Nassau County

LICENSEE

ADDRESS

PENALTY

Maria J. Leitao
(Broker/Agent)

80 Custer Avenue
Williston Park, NY

$1,100 fine

In June 1999, Ms. Leitao issued three insurance premium checks totaling over $850 which were dishonored by the bank upon which drawn, but were subsequently replaced. Four other premium checks, in small amounts, were also dishonored but the checks were written on Ms. Leitao’s operating checking account for office supplies and were not issued to pay insurance premiums. Ms. Leitao has not been working full-time at her insurance office and has not been fully attentive to the New York Automobile Insurance Plan rules and Department directives.

LICENSEE

ADDRESS

PENALTY

Peter R. Viola
(Broker)

2 Crystal Lane
Westbury, NY

License Revoked

Mr. Viola was certified by the New York Automobile Insurance Plan (NYAIP) to submit applications on behalf of individuals who were unable to secure automobile insurance in the voluntary market. Between January 1 and August 31, 1998, Mr. Viola owed return commissions to an insurer, State Farm, aggregating over $260, which he failed to promptly remit. Mr. Viola failed to furnish a requested explanation or appear at his hearing.

REGION: New York City

LICENSEE

ADDRESS

PENALTY

Ana M. Azzi
(Agent/Broker)

71 Vermilyea Ave., Apt. 4C
New York, NY

License Revoked

Between April and July 1999, Ms. Azzi transmitted four checks purporting to transmit insurance premium payments, which were dishonored because of insufficient funds in the bank account upon which drawn. As of February 16, 1999, two of these checks totaling over $700 had still not been replaced.

LICENSEE

ADDRESS

PENALTY

Bryson Insurance Brokerage, Inc.


Thomas M. Kinslow
(Sublicensee)

1009 Castleton Avenue
Staten Island, NY

Same as above

License Revoked

License Revoked

During August 1, 1998 to February 24, 2000, Respondents issued fifty premium checks that were dishonored by the bank upon which they were drawn. The sum of said checks is nearly $16,0000, of which all have been replaced.

LICENSEE

ADDRESS

PENALTY

Noland B. Fant
(Broker)

610 Amsterdam Road
New York, NY

License Revoked

Respondent was certified by the New York Automobile Insurance Plan (NYAIP) to submit applications on behalf of individuals who were unable to secure automobile insurance in the voluntary market. Between August 8, 1998 and April 3, 1999 Respondent issued eight temporary identifications cards indicating coverage through the NYAIP that were used to register a motor vehicle and failed to promptly submit these applications to the NYAIP. In three instances, the applications were submitted to the NYAIP. Respondent also failed to promptly remit unearned commissions to the insurers entitled thereto in two instances aggregating $350.23. By decision of July 29, 1999, the Governing Committee of the NYAIP determined that Respondent’s certification should be revoked for a period of six months and until the deficiencies were resolved.

LICENSEE

ADDRESS

PENALTY

Mohammad Farooq
(Broker)

650 Morris Park Avenue
Bronx, NY

License Revoked

Respondent collected premiums from insured after policy was cancelled and informed the New York City Taxi and Limousine Commission in October 1998, that the insured was covered between February 1998 and February 1999, when in fact the insured’s policy had been cancelled effective June 16, 1998. Respondent also overcharged a client for insurance coverage and failed to return the overcharged amount. In addition, he conducted an insurance business using several names that were not licensed by the Department, and failed to appear for a Department audit of his books.

LICENSEE

ADDRESS

PENALTY

George & Associates, Inc.


Sharon T. George
(Sublicensee)

30-05 43rd Street
Astoria, NY

4 East Street
Manhasset Hills, NY

License Revoked


License Revoked

Between February 13 and December 9, 1998 Corporate Respondent issued 13 checks totaling about $8,990 on its premium trust account which were dishonored by the bank but were replaced. The corporate respondent also "lowballed" clients by quoting premiums lower than the actual premium charged by the insurer and collected $35 service fees without obtaining the written agreement of the clients. The corporate respondent has repaid the service fees to the clients. The Respondents failed to appear or to be represented at a Department hearing.

LICENSEE

ADDRESS

PENALTY

Pura M. Gonzalez
(Broker)

26-06 18th St.
Astoria, NY

License Revoked

By Stipulation with the Department dated April. 15, 1996, Respondent admitted that, among other things, she conducted insurance business in the unlicensed name of P.M.G. Brokerage, for which violation and other violations, she paid a $750 fine. Respondent also agreed to take all necessary steps to prevent the recurrence of similar violation. Respondent engaged in activity that violated the stipulated representation to the Department by continuing to do insurance business in the unlicensed name of P.M.G. Brokerage in 1999.

LICENSEE

ADDRESS

PENALTY

Horacio Hernandez
(Agent)

62-07 84th St., Apt. E-16
Middle Village, NY

$150.70 fine and
License Suspended for 120 days

In 1997, Respondent, as a producer with New York Automobile Insurance Plan (NYAIP), owed about $150 in returned commissions to State Farm Mutual Automobile Insurance Company. Respondent failed to pay the owed commission and to respond to Department inquiry.

LICENSEE

ADDRESS

PENALTY

International United Coverage Inc.


Lioubov Eisdorfer
(Sublicensee)

2688 Coney Island Avenue
Brooklyn, NY

Same as above

License Revoked


License Revoked

Respondents, licensed insurance brokers, failed to appear as directed by the Department for examination under oath in connection with a Department investigation of their possible unauthorized public adjusting activities. Respondents also failed to appear at their Department hearing.

LICENSEE

ADDRESS

PENALTY

Byung Y. Kim
(Broker)
t/b/a
Byung Y. Kim Insurance Broker

39 W. 32nd St., #1203
New York, NY

Same as above

License Revoked

An insured bought insurance coverage effective March 13, 1998 to March 13, 1999, from the Respondent. They entered into a premium financing agreement with Standard Funding Corp.(SFC), dated March 10, 1998, whereby Respondent collected a down payment of $2,750 from said insured and $6,289.74 as financing from SFC. Respondent misappropriated the premium monies by not remitting same to the insurer or its general agent. When this policy was canceled for non-payment, Respondent remitted the return premium balance due of $1,539.05 to SFC, by check dated April 9, 1999. This premium check was presented to the bank twice but dishonored each time and not replaced. Despite demands for same, Respondent has failed to pay SPC the $1,539.05 he owes or to otherwise properly account for same. Respondent failed to cooperate with Department investigation or appear for his scheduled hearing.

LICENSEE

ADDRESS

PENALTY

Pierre S. Lysius
(Broker)

149 E. 31st Street
Brooklyn, NY

License Revoked

Respondent issued a premium check dated May 24, 1999, in the amount of $300 which was dishonored by the bank and not replaced. In connection with the investigation, Department wrote letters to Respondent requesting information or requiring that he appear at the Department. Respondent failed to reply to said letters or appear at the Department hearing.

LICENSEE

ADDRESS

PENALTY

Steven E. Newman
(Agent)

1623 Third Avenue, #31K
New York, NY

$5,000 fine

Over a two-year period, respondent neglected his business to care for his ailing parents. Individuals who were not licensed by the Department were providing services and completing transactions that should have been performed by or overseen by a licensed individual. As a result, several insurers did not receive insurance premiums in a timely fashion which resulted in an undue hardship for the clients of the Respondent. Respondent also did not communicate with the Department in a timely manner during this period which impeded the investigation. All overdue premiums and unearned commissions were paid by the Respondent prior to the date of the hearing.

LICENSEE

ADDRESS

PENALTY

Barrett Parks
(Agent)

1010 Bay 25th St.
Far Rockaway, NY

License Revoked

Respondent failed to timely procure a homeowner’s insurance policy, which he was not qualified to sell because he lacked the necessary property and casualty agent’s license. He failed to pay $250 to his client out of the $500 collected for said policy. Respondent issued improperly named money orders, which prevented his client from effectively being able to obtain the monies due her. He failed to issue replacement monies when the $215 money order was returned to him and cashed by him and falsely represented at the hearing that he or someone on his behalf didn’t endorse and receive the $215 himself. In addition, Respondent failed to remit all premium monies collected on behalf of NYLife from his deceased client, which almost prevented the beneficiaries from receiving the death benefits. He failed to cooperate with the Department by not responding timely and/or stating facts which were untrue or by providing documents with the intent to deceive or mislead the Department in its investigation.

LICENSEE

ADDRESS

PENALTY

Rocio Perez
(Agent)

69 Clark Lane
Staten Island, NY

$1,000 fine

Respondent, on several occasions did not submit a Driver’s Verification Form (DVF). A DVF verifies the identity and licensing status of a driver who is not the owner-applicant of the vehicle. On one occasion, the same individual was listed as the intended driver for two vehicles. The Respondent subsequently produced a DVF at the request of the Department. When contacted, the individual, whose name appeared on the DVF, did not know either the Respondent or the insurance applicant. He also said he had never executed a DVF.

LICENSEE

ADDRESS

PENALTY

Boubacar Thiam
(Sublicensee)

153-58 Rockaway Blvd.
Jamaica, NY

License Revoked

In 1997, Mr. Thiam was the responsible individual licensee/producer for State Farm Mutual Automobile Insurance Company, to which he owed over $300 in return commissions from the sale of New York Automobile Insurance Plan policies. He never repaid any of these outstanding monies. Mr. Thiam failed to cooperate with Department investigation or appear at his scheduled hearing.

LICENSEE

ADDRESS

PENALTY

S.S. Ballin Agency Inc.
Carlos P. Portes
(Agent)

C.P. Portes Associates, Inc.
Carlos P. Portes
(Sublicensee)

National Bonding Facilities, Inc.

5041 Broadway
New York, NY


Same as above

 

Same as above

License Revoked
See below


Licenses Revoked
See below


License Revoked
See below

Respondent Ballin Agency was an insurance agent pursuant to Insurance Law Section 2103(a), while C.P. Portes was an agent (Section 2103(a), broker (Section 2104) and excess line broker (Section 2105). On several occasions Respondent Ballin collected premiums as a General Agency and failed to remit such premiums to the insurer. The Respondent also issued checks which were dishonored by the bank. In addition, Carlos P. Portes did not answer truthfully a question regarding financial irregularities which appeared on a corporate application for licensure. Although all charges against National Bonding Facilities were dismissed, because its sole sublicensee’s licenses are being revoked, Respondent National Bonding Facilities was advised not to engage in any insurance business until such time as an acceptable sublicense is in place.  Revocation of the licenses of S.S. Ballin Agency, Inc., C.P. Portes Associates, Inc. and Carlos P. Portes have been stayed pending judicial review.

AGENT/BROKER STIPULATIONS

REGION: Albany

LICENSEE

ADDRESS

PENALTY

Gerald W. Dumas
(Agent)

251 New Vermont Road
PO Box 147
Bolton Landing, NY

$1,500 fine

Mr. Dumas admitted he violated Section 2123 of the Insurance Law and Regulation 60. During the period from November 1992 through April 1997, Respondent placed seven life policies with Equitable Variable Life Insurance Company, on behalf of two insureds. As part of the transactions, loans were taken on existing life insurance policies of the insureds. The loan in each instance amounted to more than 50% of the tabular cash value of each policy and thus the transaction constituted "replacement of life insurance" as defined in Department Regulation 60. Respondent failed to present to the insured a complete Regulation 60 disclosure form regarding replacement of life insurance and also failed to submit a completed disclosure statement signed by Respondent to the insurer.

REGION: Buffalo

LICENSEE

ADDRESS

PENALTY

Mark W. Long
(Agent/Broker)

54681 Morgan Parkway
Hamburg, NY

$2,206 fine

Mr. Long admitted he violated Section 2123 of the Insurance Law and Department Regulation 60 in that on or about August 21, 1984, he placed life insurance policies with the Prudential Insurance Company of America, the insurer on behalf of his two clients. As part of said transactions, loans were taken on existing Prudential policies. The loans amounted to more than 50% of the tabular cash value and thus both transactions constituted "replacement of life insurance" as defined in Regulation 60. In connection with the foregoing transactions, and in violation of Regulation 60, Respondent submitted a signed statement to the insurer on which Respondent incorrectly indicted that the transaction did not involve replacements and failed to present to the insured a notice regarding replacement of life insurance.

LICENSEE

ADDRESS

PENALTY

Gregory J. Mack
(Agent)

241 Halston Parkway
East Amherst, NY

$985 fine

Mr. Mack admits that he violated Section 2123 of the Insurance Law and Regulation 60 in that on or about June 9, 1987, Mr. Mack placed a life policy with Connecticut General Life Insurance Company, on behalf of an insured. As part of the said transaction, a loan was taken on an existing life insurance policy of the insured. The loan amounted to more than 76% of the tabular cash value and thus the transaction constituted "replacement of life insurance" as defined in Department Regulation 60. In connection with the foregoing transaction, and in violation of Department Regulation 60, Mr. Mack failed to present to the insured a completed Regulation 60 disclosure form regarding replacement of life insurance and also failed to submit a completed disclosure statement signed by Respondent to the insurer.

REGION: Nassau County

LICENSEE

ADDRESS

PENALTY

Ian A. Budhan
(Agent)

130-14 Liberty Avenue
Richmond Hill, NY

$2,500 fine

During the period of April 1, 1998 to March 30, 1999, Respondent issued 21 premium checks totaling over $9, 600 which were dishonored by the bank. All checks were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Douglas & Associates Brokerage, Inc.

and

Randolph G. Douglas
(Sublicensee)

224-11 141st Avenue
PO Box 130012
Laurelton, NY


137-19 226th Street
Laurelton, NY

$1,500 fine

In and between March 1996 and February 1997, Respondents issued 21 premium checks that were dishonored by the bank. The checks totaling over $8,800 were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Morton E. Bleetstein
(Agent)

147 Firestone Circle
Roslyn, NY

$1,000 fine

Respondent solicited and/or sold two policies for Equitable of Colorado, Inc. to New York residents in New York. Equitable of Colorado, Inc. is not licensed in New York.

REGION: Suffolk County

LICENSEE

ADDRESS

PENALTY

Bender Insurance Agency, Inc.

and

Frederick G. Gabriel
(Individually and Sublicensee)

365 Crossways Park Drive
Woodbury, NY


121 Biltmore Boulevard
Massapequa, NY

$500 fine

In September 1999, Respondents placed an insurance advertisement which failed to indicate the name of the city in which the insurer’s principal place of business was located.

LICENSEE

ADDRESS

PENALTY

Martin J. Cohen
(Agent)

10 Savings Ct.
Greenlawn, NY

$1,000 fine

During the period of April 1999 to August 1999 the Respondent filed affidavits on insurance business he did not personally place in violation of Section 2118 of the Insurance Law. Respondent paid premium taxes and filed affidavits on the insurance business which he did not personally place in violation of Department Regulation 41.

LICENSEE

ADDRESS

PENALTY

Crown Agency of New York, Inc.

and

Antoinette Ludden
(Sublicensee)

212 South Street
Oyster Bay, NY


24 Fieldstone Lane
Oyster Bay, NY

License Revoked

 

License Revoked

In and between 1996 and 1999, Ms. Ludden allowed unlicensed persons to conduct an insurance business.

LICENSEE

ADDRESS

PENALTY

Philip D. Macari
(Agent)

23 Northwood Circle
Huntington, NY

$1,500 fine

Respondent solicited three policies for Equitable of Colorado from New York residents in New York. Equitable of Colorado is not licensed in New York.

LICENSEE

ADDRESS

PENALTY

Path-Finder Agency Inc.

and

Mary P. Campell
(Individually and Sublicensee)
and

Colleen A. Campbell
(Individually and Sublicensee)

448 Suffolk Avenue
Brentwood, NY


9 Bushwick Avenue
Brentwood, NY


Same as above

$500 fine

During May 1999 to October 1999, Respondents issued four premium checks totaling over $1,650 which were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Sav-More Auto Insurance Agency, Inc.

and

Patrick V. Ferguson
(Individually and Sublicensee)

1789 A Jericho Tpke
Huntington, NY


364 Pipe Stave Hollow Road
Haupauge, NY

$1,000 fine

Between May 23 and December 15, 1997, Respondents collected insurance premiums from their client totaling over $1,130, which they failed to remit to the insurer in a timely manner; and on five occasions in 1999, the Department wrote the Respondents requesting an explanation. The Respondents failed to provide a meaningful reply thereby hampering and impeding the Department’s investigation. The Respondents have now answered.

LICENSEE

ADDRESS

PENALTY

Stephen Siringo
(Adjuster)

460 Eighth Street
Bohemia, NY

$500 fine

On his adjuster’s application dated November 12, 1999, the Applicant answered in the negative the question of whether he had any criminal convictions, when in fact he was convicted in 1992 of Possession of Gambling Records.

REGION: Rochester

LICENSEE

ADDRESS

PENALTY

Glenn T. Schucker
(Agent)

2024 W. Henrietta Road
Rochester, NY

$1,000 fine

In his application for an agent’s license dated June 22, 1998, Respondent failed to disclose the fact that he had a prior criminal conviction which occurred on October 5, 1976.

REGION: Utica

LICENSEE

ADDRESS

PENALTY

Leonard M. Marrone
(Independent Adjuster)

7065 Curry Hill Road
Barneveld, NY

$1,300 fine

In Respondent’s application of November 15, 1996 for a renewal independent adjuster’s license he stated that he was employed as an independent adjuster by Automobile Damage Appraisers of Utica-Rome, Inc. which is a company not licensed in any capacity by this Department. Subsequently, Respondent applied for and received a corporate independent adjuster’s license for Auto Damage.

REGION: Westchester County

LICENSEE

ADDRESS

PENALTY

Bonilla Insurance Agency, Inc.

and

Egiter Bonilla
(Individually and Sublicensee)

15 Anderson Street
New Rochelle, NY


120 Debs Place, Apt. 19F
Bronx, NY

$1,000 fine

During the period September 1997 to December 1998, Respondents permitted an employee to operate their insurance business even though the employee was not licensed by the Insurance Department in any capacity.

LICENSEE

ADDRESS

PENALTY

Anthony Romero
(Agent/Broker)

800 Southlake Blvd.
Mahopac, NY

License Revoked

On or between July 31, 1998 and June 30, 1999, Respondent issued 180 insurance premium checks, totaling over $50,000 that were dishonored by the bank. To date eight checks, totaling over $2,800 remain outstanding. For the period 1998 to 2000, the Respondent transacted business under the name "The Landmark Agency", an entity not licensed by or registered with the Department; and on or about July 29, 1999, the Respondent’s certification to write insurance for the New York Automobile Insurance Plan was suspended for violating Plan rules.

REGION: Out of State

LICENSEE

ADDRESS

PENALTY

Howard M. Baker
(Agent)

1120 Pone De Leon Boulevard
Coral Gables, FL

$2,500 fine

During the period of April 1999 to August 1999, the Respondent solicited, negotiated and effectuated insurance polices on behalf of an insurance company not authorized to do business in the State of New York in violation of Section 2117 of the Insurance Law.

LICENSEE

ADDRESS

PENALTY

Pierre Garnel
(Broker)

605 Shady Lawn Road
Chapel Hill, NC

$500 fine

On his pending license application he answered in the negative, the question on whether he had been fined by any State or governmental agency or authority, when in fact on February 6, 1981, he was fined $150 by the Department for violation of a New York Automobile Insurance Plan rule.

LICENSEE

ADDRESS

PENALTY

Jeffery L. Gitterman
(Agent)

c/o Equitable Life Assurance Society of the US
101 Fieldcrest Avenue
Suite 601
Edison, NJ

$826 fine

In 1997 Respondent solicited and/or sold one policy for the Fidelity Group, Inc., an entity not licensed or authorized to do an insurance business in this state.

LICENSEE

ADDRESS

PENALTY

Gary Wasserman
(Agent)

1120 Ponce De Leon Boulevard
Coral Gables, FL

$2,500 fine

During the period of April 1999 to August 1999, the Respondent solicited, negotiated and effectuated insurance polices on behalf of an insurance company not authorized to do business in the State of New York in violation of Section 2117 of the Insurance Law.

LICENSEE

ADDRESS

PENALTY

Michael J. Wexler
(Broker)

1120 Ponce De Leon Boulevard
Coral Gables, FL

$2,500 fine

During the period of April 1999 to August 1999, the Respondent solicited, negotiated and effectuated insurance polices on behalf of an insurance company not authorized to do business in the State of New York in violation of Section 2117 of the Insurance Law.

REGION: New York City

LICENSEE

ADDRESS

PENALTY

Bahman Brokerage, Inc.
Alexander B&B Network Agency Inc.

Bahman Agency, Inc.

and

Bahman Soltanian
(Sublicensee and Individually)

84-50 Grand Avenue
Elmhurst, NY

Same as above

 

76-36 113th Street
Forest Hills, NY

$1,000 fine

Between April 1, 1999 and March 31, 2000, the Respondents issued 23 insurance premium checks totaling over $13,300 that were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Magloire Cevieux
(Broker)

120-27 218th Street
Cambria Heights, NY

$500 fine

Between July 1998 and May 1999, the Respondent issued three insurance premium checks totaling over $1,020 that were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Abel Cherubin
(Broker)
t/b/a
Abel C. Brokerage

849 E. New York Avenue
Brooklyn, NY

$1,000 fine

In September of 1998, Respondent was decertified by the New York Automobile Insurance Plan (Plan) for 60 days for violations of Plan Rules including, issuing one ID card for purpose of obtaining registration for which the Plan had no record of receiving an application, 32 deficient applications containing 44 deficiencies, five reports of suspected fraudulent activity, and four producer performance standard violations. All violations were subsequently corrected. From on or about March 1998 to September 1998, the Respondent permitted his secretary to operate his insurance business even though his secretary was not licensed by the Department in any capacity.

LICENSEE

ADDRESS

PENALTY

Angelina DeJesus
(Broker)

935A Southern Blvd.
Bronx, NY

$2,000 fine

During the period of February 1999 to January 2000, Respondent’s premium account had a negative balance and numerous premium checks presented to the account were charged an overdraft fee by the bank upon which drawn. During the same period, Respondent submitted altered bank statements to the Department so as to conceal the negative activity reflected in the premium account.

LICENSEE

ADDRESS

PENALTY

East Coast Motor Club Marketing, Inc.

and

Paul Zaris
(Individually and Sublicensee)

2319 Westchester Avenue
Bronx, NY

 

1 Shagbark Court
New City, NY

$1,500 fine

On or about October 17, 1998, Respondents permitted a client to sign a premium finance agreement in the name of another client, even though the Respondents knew that he was not the client whose name he was using.

LICENSEE

ADDRESS

PENALTY

Fazad Ebtehaifar
(Broker)
t/b/a
Realty Support

76-26 113th Street. #3A
Forest Hills, NY

$500 fine

After a Notice and a Hearing before an Administrative Law Judge, Mr. Ebtehaifar was found to have participated in improper transactions involving the United States Department of Housing and Urban Development. As a result he was disbarred and suspended from dealing with that agency for a period of three years ending on May 18, 2000.

LICENSEE

ADDRESS

PENALTY

Jose A. Galvan
(Broker)

3817 Third Avenue, 2nd Fl.
Bronx, NY

$500 fine

In and between March 1, 1999 to February 28, 2000, the Respondent issued 18 insurance premium checks, totaling over $7,460, that were dishonored by the bank upon withdrawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Salvador German
(Broker)

504 W. 207th Street, Suite 2W
New York, NY

$500 fine

In July 1996, Mr. German signed a New York Automobile Insurance Plan application and issued an insurance identification card for a client, although an employee not licensed in the Department, actually negotiated and consummated the transaction.

LICENSEE

ADDRESS

PENALTY

Eduardo Herrera
(Broker)

89-09 37th Street
Jackson Heights, NY

$2,500 fine

Between April and August 1999, the Respondent issued 29 insurance premium checks, totaling over $5,300 that were dishonored by the bank but were subsequently replaced. On February 10 and May 12, 1999, the Respondent accepted premium payments totaling $210 that were not submitted to the New York Automobile Insurance Plan ("Plan") in the time prescribed by Plan rules; and he failed to return unearned commissions within 45 days of demand as required by Plan rules; the money has been repaid and in August, 1999, his certification to write insurance for the Plan was revoked. He has since corrected the pending violations.

LICENSEE

ADDRESS

PENALTY

Last Second Agents, Inc.

and

Ana M. Joa
(Individually and Sublicensee)

4750 Bronx Blvd.
Bronx, NY


18 Valley View Drive
Yonkers, NY

$500 fine

On April 1997, Respondents received from a client a check in the amount of $1,000 for premium payment on an insurance policy. Respondents did not apply the $1,000 towards the insurance policy nor did Respondents return same to the client. Subsequent to the Department’s investigation, the Respondents refunded the check amount to the client.

LICENSEE

ADDRESS

PENALTY

Hugo O. Maldonado
(Broker)

110-29 Saultell Avenue
Corona, NY

$3,000 fine

During the period of September 1998 to September 1999, Respondent issued 23 checks totaling over $10,580 which were dishonored by the bank upon which drawn, but were subsequently replaced. During the same period, Respondent commingled premium funds in violation of Department Regulation 29.

LICENSEE

ADDRESS

PENALTY

Joseph P. Manzi
(Agent)

5806 80th Street
Elmhurst, NY

$1,000 fine

In his application dated September 30, 1999, Respondent failed to disclose the fact that he had a prior criminal conviction which occurred on December 10, 1998 and another conviction which occurred on January 19, 1999.

LICENSEE

ADDRESS

PENALTY

Enrique Mateo
(Broker)

226 Wyckoff Avenue
Brooklyn, NY

$500 fine

In April and May 1999, the Respondent issued two insurance premium checks totaling over $1,490 that were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

OK Brokerage Service, Inc.

and

Beulah M. Wilson
(Individually and Sublicensee)

1939 Third Avenue
New York, NY


48 W. 105th Street
New York, NY

$500 fine

In and between January and October 1999, the Respondents issued 11 insurance premium checks totaling $2,210 while the premium account contained inadequate or uncollected money. Three of the above cited checks were dishonored by the bank but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Henry O. Orah
(Broker)
t/b/a
Orah Insurance Brokerage

1372 Washington Avenue 2E
Bronx, NY

Same as above

$500 fine

On or about February 2, 1999, the Respondent submitted an application to the New York Automobile Insurance Plan without the proper deposit thereby depriving the insured of the comprehensive insurance coverage he had requested.

LICENSEE

ADDRESS

PENALTY

Perry & Perry Services Ltd,

and

Mitchell O. Perry
(Individual and Sublicensee)

1360 Flatbush Avenue
PO Box 100843
Brookly, NY

300 East 75th Street, Apt. 10J
New York, NY

$1,000 fine

Failed to remit or otherwise account for a premium of $785. The Respondents, on or about April 24, 2000 returned the money to the insureds.

LICENSEE

ADDRESS

PENALTY

Princess-Yiema Multi-Services Agency, Inc.

and

Harold E. John
(Individually and Sublicensee)

212-29 Jamaica Avenue
Queens Village, NY

 

16 Biscayne Drive
Selden, NY

$1,000 fine

In January 1999, they issued two insurance premium checks totaling over $400, that were dishonored by the bank upon which drawn, but were subsequently replaced. Between January and June 1999, they commingled premium money by paying operational and personal expenses from their premium account.

LICENSEE

ADDRESS

PENALTY

Francisco Ramos
(Broker)

247 Wadsworth Avenue, Apt. 5C
New York, NY

$2,000 fine

In September of 1999, Respondent was decertified for one year by the New York Automobile Insurance Plan (Plan), for violations of Plan rules including, transmitting three electronic mail messages to the Plan to immediately effect coverage for which the Plan has no record of receiving applications; for issuing three ID cards for the purpose of obtaining registration for which the Plan had no record of receiving any applications, 22 deficient applications contained 44 deficiencies, one producer performance standard violation; and issuing 28 premium checks totaling over $9,000 which were dishonored by the bank but were subsequently replaced.

All violations were subsequently corrected.

LICENSEE

ADDRESS

PENALTY

Kelvin B. Richardson
(Broker)

300 Linden Blvd.,#6A
Brooklyn, NY

$2,000 fine

Between October 1997 and September 1998, Respondent issued five insurance premium checks, totaling $2,300 that were dishonored by the bank upon which drawn, but were subsequently replaced. For the same period, the Respondent commingled insurance premium funds by paying business expenses from his premium account.

LICENSEE

ADDRESS

PENALTY

Mercedes Rodriquez
(Broker)
t/b/a
Rodriquez Enterprise

40-03 80th Street
Elmhurst, NY

Same as above

$500 fine

During January 1999 to June 1999, Respondent issued 14 premium checks totaling over $3,860 which were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Yudelkis Rosario
(Broker)

154 Allen Street
New York, NY

$1,000 fine

Between July 1, 1997 to October 31, 1999, Respondent issued 43 insurance premium checks, totaling over $16,860 which were dishonored by the bank upon which drawn, but were subsequently replaced.

LICENSEE

ADDRESS

PENALTY

Ralph Stingo
(Agent)

94-35 225th Street
Bellrose Terrace, NY

$1,000 fine

In September 1993, the Respondent deposited into his bank account two loan checks totaling over $5,460 that had been issued by the Equitable Life Assurance Society ("Equitable"), the insurer, to his client. The Respondent, in September 1994, used $3,000 of the loan proceeds to purchase a new life insurance policy on behalf of his client. Respondent failed to remit the balance of the loan proceeds in the amount of $2,467 to his client or to otherwise account therefore. Equitable reimbursed the insured the amount of the loan balance and entered into an agreement dated May 25, 2000 with the Respondent whereby the Respondent agreed to pay the insurer the balance of the loan amount plus interest.

LICENSEE

ADDRESS

PENALTY

Tai-Lung Sun
(Agent and Broker)

135-05 38th Avenue #3A
Flushing, NY

$1,500 fine

Between April 1998 and January 1999, the Respondent issued 28 insurance premium checks totaling over $25,700 that were dishonored by the bank upon which drawn, but were subsequently replaced; and commingled his insurance premium account by paying business related expenses using premium monies.

LICENSEE

ADDRESS

PENALTY

Top Brokerage, Inc.

and

Melvin Wechsle
(Individually and Sublicensee)

2201 Grand Concourse
Bronx, NY


1623 Third Avenue, Apt. 6K
New York, NY

$2,000 fine

During the period of July 1999 to August 1999, Respondents issued two premium checks totaling $600 which were dishonored by the bank upon which drawn, but were subsequently replaced. During the same period Respondents commingled premium funds in violation of Regulation 29.

LICENSEE

ADDRESS

PENALTY

Travel & Insurance Brokerage Services, Inc.

and

Anthony A. Trujillo
(Individually and Sublicensee)

43-16 108th Street
PO Box 680112
Corona, NY


45-07 104th Street
Queens, NY

$2,500 fine

In September of 1998, Respondents were decertified by the New York Automobile Insurance Plan (Plan) for two years for violation of Plan Rules including issuing seven ID cards for the purpose of obtaining registration for which the Plan had no record of receiving any applications. In addition, 10 deficient applications containing 30 deficiencies, issuing two checks totaling over $450 for premium payments which were dishonored by the bank and four producer performance standard violations. All the violations were corrected and all checks were replaced.

LICENSEE

ADDRESS

PENALTY

Yuen Man Tse
(Broker)

78 Bowery, Suite 201
New York, NY

$1,000 fine

In 1995, the Respondent submitted four medical insurance applications to International Medical Group, an insurance entity not licensed by the Department.

LICENSEE

ADDRESS

PENALTY

Andrew R. Watson
(Broker)
t/b/a/
Future Now Realty, Co.

1069 Nostrand Avenue
Brooklyn, NY

Same as above

$1,000 fine

Between June 1, 1999 and November 30, 1999, Mr. Watson issued there insurance premium checks totaling over $1,600 that were dishonored by the bank upon which drawn, but were subsequently replaced and commingled premium money by paying personal and operational expenses from his premium account.

FINES FOR LATE FINANCIAL STATEMENTS

The following health maintenance organizations (HMOs) and other insurers have been fined for the submission of the 1999 Quarterly Statements & CPA Report Submission.

LICENSEE

ADDRESS

PENALTY

Community Health Plan

1 CHP Plaza
Latham, NY

$250 fine

MagnaHealth of New York

825 East Gate Blvd.
Garden City, NY

$250 fine

North American Healthcare, Inc.

205 Park Club Lane
Buffalo, NY

$1,000 fine

North Medical Community Health Plan, Inc.

5112 West Taft Road, Suite R
Liverpool, NY

$500 fine

Physicians Health Service Insurance of New York, Inc.

One Far Mill Crossing
PO Box 904
Shelton, CT

$250 fine

Univera Healthcare

205 Park Club Lane
Buffalo, NY

$500 fine

Wellcare of New York, Inc.

6800 N. Dale Mabry
Suite 268
Tampa, FL

$750 fine

 


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