The State of New Jersey
NJ Department of Banking and Insurance
search  

 

 
Home > Insurance Division > NJ Insurance Enforcement Activity
2009 Insurance Enforcement Activity

January > February > March > April > May > June > July > August > September > October > November > December > Previous Years

December


Final Orders

Harry Del Bosco, Fair Lawn, NJ
Garden State Brokers, Inc., Fair Lawn, NJ
Final Decision and Order #E09-81, December 18, 2009; Del Bosco failed to remit or return premium payments made by or on behalf of numerous insureds, and failed to timely notify the Department of the filing of a criminal accusation against him and of his conviction of a felony crime pursuant to his guilty plea.  Sanctions:  Revocation of licenses; Restitution - $24,419.02, Fine - $65,000; Costs - $1,775.

Orders to Show Cause

Yehuda Dachs, Lakewood, NJ
Order to Show Cause #E09-80, December 16, 2009; producer is charged with submitting a fraudulent claim (for which he agreed to pay a civil penalty and attorneys fees pursuant to the NJ Insurance Fraud Prevention Act).

Consent Orders

Deny J. Aleman, Clifton, NJ
Consent Order #E09-75, December 2, 2009; producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Financial Casualty & Surety, Inc., Houston, TX
Consent Order #E09-79, December 16, 2009; the surety, through its appointed bail agent, imposed premium charges for bail bonds that were not based on a fee schedule established by the surety and which on occasion varied by defendant despite the common face amount of the bond.  Sanction:  Fine - $2,000.

Sidney L. Gaines, Willingboro, NJ
Consent Order #E09-78, December 2, 2009; producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Caroline Keller, Montvale, NJ
Consent Order #E09-76, December 2, 2009; producer failed to timely notify the Department of her indictment, criminal conviction and a Stipulation with the NY Department of Insurance. Sanction:  Fine - $1,750.

Steve Umoru, Allentown, NJ
Consent Order #E09-77, December 2, 2009; producer accepted premium but failed to secure homeowner’s insurance coverage; subsequently, the producer submitted an application and premium to the FAIR Plan, but failed to refund excess premium; subsequently, the FAIR Plan cancelled insurance and returned unearned premium which the producer failed to refund to the mortgage company until after the producer’s appearance before the Department was compelled via Department subpoena; and, in addition, the producer failed to maintain a premium trust account.  Sanction:  Fine - $3,500.


November


Final and Miscellaneous Orders

Girls, Inc., New York, NY
Conditional Order Revoking Special Permit #E09-65, October 14, 2009; special permit to issue charitable annuities is revoked due to failure to submit annual statements, but may be retroactively reinstated provided Girls, Inc. satisfies regulatory concerns within 30 days.

Rider University, Lawrenceville, NJ
Conditional Order Revoking Special Permit #E09-66, October 14, 2009; special permit to issue charitable annuities is revoked due to failure to submit an annual statement, but may be retroactively reinstated provided Rider University satisfies regulatory concerns within 30 days.  The concerns were, in fact, satisfied after the issuance of the Conditional Order and the permit was retroactively reinstated.

Orders to Show Cause 

New Jersey Physicians United Reciprocal Exchange (NJ PURE), Princeton, NJ
Order to Show Cause #E09-73 (PDF), November 13, 2009;  NJPURE is charged with numerous instances of disseminating advertisements and marketing material that were false or maliciously critical of or derogatory to the financial condition of competitors; and with unfair acts, practices or methods of competition.

Consent Orders

Aetna Health, Inc., Blue Bell, PA
Aetna Life Insurance Company, Blue Bell, PA
Consent Order #C09-102, November 12, 2009; Aetna reported to the Department that from October 2002 through September 2009 it improperly processed out-of-network hospital and non-hospital facility claims for persons covered under individual health coverage (IHC) and small employer health (SEH) contracts.  Aetna will reprocess all affected claims to remedy underpayments, including 12% interest.  Payment to either the affected member or facility will be made based on the results received from notices that Aetna will issue to impacted members and facilities requesting proof of payment information.  Reprocessing shall be completed on or before April 30, 2010.  Sanction:  none.

Foundation Title, LLC, Marlton, NJ
Brian E. Allen, Mercerville, NJ
Carol Azarian, Marlton, NJ
John M. Cox, East Brunswick, NJ
James H. Craft, II, Marlton, NJ
William T. Crowell, East Brunswick, NJ
Mark G. D’Agostino, Marlton, NJ
Christopher J. Gimello, Vineland, NJ
Sebastian Guzzardi, Mercerville, NJ
Scott Jakubowski, Red Bank, NJ
Brian J. Katz, Mercerville, NJ
Keith N. Langan, Marlton, NJ
Christopher P. Mooney, Ocean City, NJ
Edward R. Rickenbach, Jr., East Brunswick, NJ
Christine M. Roesberg, Woodbury, NJ
Joseph J. Ryan, Cherry Hill, NJ
Michael S. Ryan, Northfield, NJ
Robert Souder, East Brunswick, NJ
Consent Order E#09-74, November 23, 2009; respondent producers, except Joseph Ryan, offered inducements through reduced fees and rebates to certain clients in connection with the placement of title insurance; Joseph Ryan initially did not cooperate fully with the Department during an investigative interview.  Sanctions:  Fine - $64,500 (allocated $1,000 to Allen, $1,000 to Azarian, $1,000 to Cox, $1,000 to Craft, $2,500 to Crowell, $10,000 to D’Agostino, $1,000 to Gimello, $5,000 to Guzzardi, $5,000 to Jakubowski; $1,000 to Katz, $5,000 to Langan, $1,000 to Mooney, $5,000 to Rickenbach, $5,000 to Roesberg, $2,500 to Joseph Ryan, $5,000 to Michael Ryan, $5,000 to Souder and $7,500 to Foundation Title).

David M. Lombardo, Ramsey NJ
Consent Order #E09-71, November 9, 2009;  producer is determined to be unworthy for licensure as a result of his conviction for theft – a criminal act committed during the course of his business as a general securities representative at a time when he held a producer license.  Sanctions:  Revocation of license; Fine - $1,000.

Kimberly Pocquat, Long Valley, NJ
Consent Order #E09-72, November 9, 2009; producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

 
October

Notices and Final Orders

Horizon Healthcare Services, Inc.,
Newark, NJ
Enforcement Notice #E09-51 – Notice Pursuant to ­N.J.S.A. 26:2S-16a to Cease, Desist and Remediate Violations, September 14, 2009; through this Notice the Department asserts that Horizon did not properly reimburse former participating medical providers for services provided to new patients treated during the applicable continuity of care period following termination from Horizon’s network.

   
Related Action:  Horizon Healthcare Services, Inc.
Horizon Healthcare of New Jersey, Inc.
  Consent Order #E09-70, October 27, 2009.  By May 1, 2010, Horizon and Horizon HMO will remediate applicable payments to providers terminated on and after January 1, 2009 for services rendered to patients first seen after termination, by reimbursing the difference, if any, between the out-of-network benefit amount and the amount paid as in-network, plus 12% interest; by February 1, 2010, Horizon and Horizon HMO will implement system changes to reimburse terminated providers for services rendered to patients first seen after termination based on the applicable out-of-network benefit; and Horizon and Horizon HMO will submit a report to the Department by July 1, 2010 detailing remediation.
   

Consent Orders

Dallmer Adjusters, Inc.,
Bensalem, PA
Consent Order #E09-64, October 9, 2009; public adjuster failed to timely file notices of changes regarding sub-licensees.  Sanction:  Fine - $500.

Donald F. LaPenna Associates, Inc.,
Clark, NJ
Consent Order #E09-69, October 26, 2009; producer placed transactions without having the required surplus lines authority and failed to have the required authority/authority number when premium tax reports were submitted to the Commissioner.  Sanction:  Fine - $700.

Stephen P. Feldkamp,
Little Silver, NJ
Consent Order #E09-63, October 9, 2009; producer conducted business using a name not licensed by or registered with the Department.  Sanction:  Fine - $500.

Michelle Pohubka,
Marlton, NJ
Concept Title Agency, LLC, Marlton, NJ
Consent Order #E09-68, October 26, 2009; producers completed closing on a property but failed to timely file the deed with the county clerk.  Sanction:  Fine - $1,500.

Robert L. Poole,
Lavallette, NJ
Consent Order #E09-62, October 9, 2009; producer failed to issue and deliver a title insurance policy in a timely manner.  Sanction:  Fine - $500.

 
September

Consent Orders

Michael J. Alberga, Montclair, NJ
Consent Order #E09-52, September 15, 2009; the producer failed to timely notify the Department of a criminal conviction.  Sanction:  Fine - $500.

Columbia Casualty Insurance Company, Chicago, IL
Consent Order #E09-61, September 30, 2009; insurer accepted surplus lines placements without the required transaction number.  Sanction:  Fine - $4,000.

Fernando Chaux, Passaic, NJ
Jaymar Insurance Agency Corp., Passaic, NJ
Consent Order #E09-53, September 17, 2009; producers failed to disclose the total number of moving vehicle points in applications submitted to NJ PAIP.  Sanction:  Fine - $1,000.

Financial and Professional Risk Solutions, Inc., Chicago, IL
Consent Order #E09-60, September 30, 2009; producer placed coverages with surplus lines insurers without first obtaining surplus lines authority; and was responsible for allowing a managing general underwriter to accept a surplus lines placement without the required transaction number.  Sanction:  Fine - $18,000.

Maria A. Grosvenor, Riverview, FL
Consent Order #E09-59, September 30, 2009; producer failed to disclose a criminal conviction on her nonresident producer license application.  Sanction:  Revocation of license.

Mohammad A. Javaid, Piscataway, NJ
Consent Order #E09-55, September 30, 2009; producer conducted business using a business name that was not registered with or licensed by the Department; and commingled premiums with other funds in a bank account that was not a premium trust account.  Sanction:  Fine - $1,000.

Richard Maffei, Altamonte Springs, FL
Consent Order #E09-58, September 30, 2009; producer failed to notify the Department of disciplinary actions taken by the states of Alabama and Maine; and failed to timely inform the Department of a change of business address.  Sanction:  Revocation of license.

Anthony W. March, Kitty Hawk, NC
Consent Order #E09-57, September 30, 2009; producer failed to disclose a fine paid to Virginia’s insurance authority in his application to the Department for a nonresident license.  Sanction:  Fine - $500.

James Owens, Millville, NJ
Consent Order #E09-54, September 30, 2009; producer submitted applications to NJ PAIP in an untimely manner.  Sanction:  Fine - $1,325.

James B. Ramundo, Lincoln Park, NJ
Consent Order #E09-56, September 30, 2009; without the knowledge or consent of his client, Ramundo completed an insurance application for one policy and used the cash value from the client’s other policy to pay the premium; without the knowledge or consent of his client, Ramundo signed his client’s name on various insurance documents in order to receive a commission, knowing that the information provided was false; and Ramundo failed to timely notify the Department of a Consent Order entered into with the Office of the Insurance Fraud Prosecutor in which he agreed to pay a fine for application fraud and forgery.  Sanctions:  Revocation of license; Fine - $5,000.

 
August

Consent Orders

Arrowood Surplus Lines Insurance Co., Atlanta, GA
Consent Order #E09-47, August 7, 2009; insurer accepted a surplus lines placement without the required transaction number.  Sanction:  Fine - $1,000.

Robert M. Dash, Springfield, NJ
Consent Order #E09-45, August 7, 2009; Dash assisted in the submission of an annuity application, knowing that the assisted producer was not an agent of the insurer in question, by procuring the signature of a producer who was an agent (Losey) on the annuity application.  Sanction:  Fine - $5,000.

Warren F. Losey, Sr., Union, NJ
Warren F. Losey, Sr., Inc., Union, NJ

Consent Order #E09-49, August 7, 2009; Losey signed an annuity application as an agent of the insurer even though he never met the applicant, had never discussed whether the annuity was appropriate for the applicant, and with knowledge that he was signing an application that had been solicited and completed by a producer who was not an agent of the insurer.  Sanction:  Fine - $5,000.

Dore Schreibman, East Northport, NY
Consent Order #E09-48, August 7, 2009; producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Triad Healthcare, Inc., Plainville, CT
Consent Order #E09-46, August 7, 2009; Triad, a Licensed Organized Delivery System, denied or underpaid certain chiropractic claims on the erroneous basis that the underlying services were subject to precertification.  Sanction:  Fine - $50,000; Remediation of improperly denied and underpaid claims.

 
July

Consent Orders

Maina K. Agha, Irvington, NJ
AMC Insurance Agency, Inc., Irvington, NJ
Consent Order #E09-40, July 7, 2009;  producer failed to disclose the total number of moving vehicle points on an application submitted to NJ PAIP.  Sanction:  Fine - $1,000.

Liaqat Ali, Avenel, NJ
Consent Order #E09-42, July 10, 2009; public adjuster conducted business using a name that was not registered with the Department and issued misleading advertisements. Sanction:  Fine - $1,500.

Illinois Union Insurance Company, Philadelphia, PA
Consent Order #E09-41, July 10, 2009; insurer accepted a surplus lines placement without the required transaction number.  Sanction:  Fine - $1,500.

Trevor N. Patton, Plainfield, NJ
Consent Order #E09-43, July 15, 2009; producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Nelson S. Saavedra, Morganville, NJ
Consent Order #E09-44, July 15, 2009; producer failed to disclose a 1986 criminal conviction in an application for reinstatement of his license.  Sanction:  Fine - $500.

 
June

Notices & Final Orders

Oxford Health Insurance, Inc., Trumbull, CT
Oxford Health Plans (NJ), Inc., Trumbull, CT

Enforcement Notice #E09-39 (PDF) – Notice Pursuant to N.J.S.A. 17B:30-55a to Cease, Desist, and Remediate Violations, June 23, 2009; through this Notice the Department asserts that Oxford engaged in recoupment efforts against medical providers by use of extrapolation, in contravention of the Health Claims Authorization, Processing and Payment Act (HCAPPA), and thereafter made inappropriate referrals of many of the affected medical providers to the Office of Insurance Fraud Prosecutor (OIFP) in an apparent effort to provide a justification or cure for its violations of HCAPPA.  Pursuant to the Notice, Oxford has until July 23, 2009 to remediate its violations by taking measures including but not limited to reimbursing all affected providers for all amounts obtained in violation of HCAPPA, together with interest at 12%, and submitting supplemental information to the OIFP consistent with its remedial action.  Oxford shall submit a report detailing remedial actions to the Department by August 7, 2009.

Guy G. Cardinale, Fair Haven, NJ
Final Order #E09-32, June 4, 2009; Order to Show Cause #E08-84, issued September 22, 2008, charged Cardinale with securing insurance policies in a fraudulent manner in order to receive greater commissions; willfully failing to process client policy adjustments in order to receive greater commissions; applying for policies covering himself and remitting premium for those policies by issuing checks that were returned for insufficient funds in order to generate commissions; having imposed against Cardinale criminal convictions based on these acts, thereby demonstrating unworthiness to continue possessing a producer license; and failing to timely inform the Department of license revocations in other jurisdictions.  Although provided with notice and an opportunity to contest these charges, Cardinale failed to do so.  Sanctions:  Revocation of license; Restitution - $170,424.52; Fine - $52,500; Costs - $575.
 
Consent Orders

CBDI, Inc., Mt. Laurel, NJ
William O. Daggett, Mt. Laurel, NJ
Jack J. Piccininni, Mt. Laurel, NJ

Consent Order #E09-30, June 1, 2009; Producers were responsible for allowing an unlicensed employee to transact insurance business, paying the employee insurance related commissions, and failing to supervise the employee’s insurance related conduct. Sanction:  Fine - $2,200.

David L. Clark, Somerville, NJ
Consent Order #E09-31, June 5, 2009;  Clark sold group health insurance coverage through a purported union that was later determined by the USDOL not to constitute a “labor organization;” collected insurance premium totaling $91,620 but failed to timely remit the premium to the carrier and failed to notify enrollees that coverage had been canceled; failed to disclose to the enrollees the true premium charged by the carrier by incorporating premium with charges for fees and dues; commingled premiums with fees and dues in a non-trust account; collected premium purportedly as a “reserve” and thereafter disbursed a portion as income (the premium was subsequently reimbursed). Sanctions:  Revocation of license; Fine - $40,000.

Andrew MacGregor, Renesselear, NY
Consent Order #E09-33, June 4, 2009; Producer failed to timely inform the Department of changes of business and residential addresses.  Sanction:  Fine - $750.

Nona H. Procopio, Philadelphia, PA
Consent Order #E09-29, June 1, 2009; Producer sold insurance contracts after her license expired and received commissions from these sales; and she enrolled her mother-in-law into a employer group health benefit plan even though the mother-in-law was not associated with the employer.  Sanctions:  Revocation of license; Fine - $5,000.

Musu V. Richardson, Trenton, NJ
Consent Order #E09-34, June 10, 2009; Producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Edward Tiller, Piscataway, NJ
Consent Order #E09-38, June 19, 2009; In conjunction with a life insurance application, Tiller provided a policy illustration that failed to provide accurate information regarding a number of material aspects.  Sanction:  Fine - $1,000.

Robert R. Winward, Cape May Court House, NJ
Consent Order #E09-36, June 11, 2009; Winward transacted business as a public adjuster without the benefit of a current license.  Sanction:  Fine - $500.

Matters Resolved without Determination of Violation

Houston Casualty Company, Houston, TX
Consent Order #E09-35, June 10, 2009; Issue: surplus lines authority/transaction number;
Administrative Sanction:  $1,000.


 
May

Final Orders

Lee V. Williams,
Philadelphia, PA
Final Decision and Order #E09-04, January 16, 2009;  Producer issued a check for the renewal of his license that was subsequently dishonored for insufficient funds; when contacted by the Department, Williams nevertheless failed to timely replace the funds (which were replaced approximately 6 months later) or provide a timely explanation in response to the Department’s inquiry.  Sanctions imposed included a $1,000 fine and costs of $500, which sanctions were to have been paid on or before February 15, 2009, otherwise an indefinite suspension would be imposed.  Having not received the monetary payment, the license was placed in suspension effective May 19, 2009.

Orders to Show Cause

Julio C. Fonseca,
Orange, NJ
Order to Show Cause #E09-28, May 28, 2009; allegations against this producer include multiple instances of issuing checks that were returned for insufficient funds; multiple instances of submitting deficient applications to NJPAIP; multiple instances of failing to remit premium and/or the associated application for insurance coverage to the insurer; and multiple instances of issuing auto insurance identification cards for which there was no underlying insurance coverage.

Rhett Kirchhoff,
Minersville, PA
Senior Financial Planners Insurance, Minersville, PA
Order to Show Cause #E09-25, May 21, 2009;  the producers are alleged to be unworthy for licensure as a result of Kirchhoff’s guilty plea in federal court to conspiracy to commit securities fraud, conspiracy to commit wire fraud, conspiracy to commit money laundering, conspiracy to interfere with commerce by threats of violence, and bankruptcy fraud; and they misrepresented information on their license applications by failing to disclose that Kirchhoff signed a Letter of Acceptance, Waiver and Consent with the NASD in which he was fined $25,000 and barred from further association with any NASD member in any capacity.

David M. Lombardo,
Ramsey, NJ
Order to Show Cause #E09-27, May 26, 2009; Producer is alleged to be unworthy for licensure as a result of his conviction for theft – a criminal act committed during the course of his business as a general securities representative at a time when he held a producer license.

Consent Orders

Alan Feldman,
West Orange, NJ
The Feldman Agency, Inc., West Orange, NJ
Consent Order #E09-24, May 8, 2009; Producer failed to delivery a policy to the insured in a timely manner.  Sanction:  Fine - $1,000 ($500 each – Alan Feldman and Feldman Agency).

Matters Resolved without Determination of Violation

UnitedHealthCare Insurance Company,
Hartford, CT;
Consent Order  #E09-23,  May 8, 2009; Issue: insurer’s Use of Non-Participating Laboratory Services protocol;  Administrative Sanction - $5000; Costs - $5,000.
 
April

Consent Orders

Allstate New Jersey Insurance Company, Northbrook, IL
Consent Order #E09-20, April 8, 2009; Insurer made an automobile rate filing but failed to concurrently provide a copy to the Public Advocate; and Allstate provided notice of the filing to policyholders in a form different that that required by regulation. Sanction: Fine - $5,000.

Israel M. Bruch, Allentown, PA
Consent Order #E09-22, April 27, 2009; Bruch allowed three persons to solicit and sell annuities without the benefit of a NJ producer license; he falsely asserted that he completed and signed annuity applications in the presence of the applicants; and he failed to notify the Department that he entered into a related administrative order providing for the surrender of his Pennsylvania producer license. Sanction: Revocation of license.

Benjamin L. Tindal, Lansdowne, PA
Consent Order #E09-21, April 17, 2009; Producer issued a check to the Department for payment of his license renewal which was subsequently dishonored for insufficient funds. Sanction: Fine - $500.

 
March


Final Orders

Otis M. Boone, Trenton, NJ
Final Order #E09-17, March 30, 2009; Order to Show Cause #E08-91, issued October 16, 2008, charged Boone, a former public adjuster and insurance producer, with starting fires with the purpose of collecting insurance for the destruction or damage to properties; agreeing to knowingly engage in conduct constituting the crime of aggravated arson; failing to timely notify the Department of the filing of formal criminal charges against him; and failing to timely notify the Department of his criminal conviction.  Although provided with notice and an opportunity to contest these charges, Boone failed to do so. Sanctions:  Revocation of insurance producer and public adjuster licenses; Fine - $5,000; Costs - $726.50.

Michael D. Cook, Pleasantville, NJ
Final Order #E09-16, March 30, 2009; Order to Show Cause #E08-90, issued October 16, 2008, charged Cook with knowingly submitting a backdated application to an insurer, and failing to timely notify the Department that he entered into a Consent Order with the Office of the Insurance Fraud Prosecutor regarding the backdated insurance application submission.  Although provided with notice and an opportunity to contest these charges, Cook failed to do so.  Sanctions:  Revocation of license; Fine - $7,500; Costs - $275.

Consent Orders

Aetna Health, Inc., Blue Bell, PA
Settlement Agreement and Consent Order #09-14, March 25, 2009; Aetna withdraws its contest of Order #A07-59, imposing sanctions with respect to payment practices affecting certain out-of-network providers in connection with claims for medical services pertaining to emergency or in-patient admissions.  Remediation to be made to affected providers including the payment of interest.  Sanction:  Fine - $2,500,000.

CIGNA Healthcare of New Jersey, Inc., Jersey City, NJ
Connecticut General Life Insurance Company, Bloomfield, CT
Consent Order #A09-12, March 5, 2009; Insurers withdraw their contest to Order #A07-34, imposing sanctions in connection with practices regarding nonrenewal of optional benefit riders for certain small employer plans and offers to obtain new coverage.  Remediation was made to affected small employer members.  Sanction:  Fine - $1,000,000.

Ricardo V. Coomer, Voorhees, NJ
Consent Order #E09-15, March 30, 2009; Coomer used a written fee agreement which incorrectly attributed a $20 service fee to be a NJPAIP requirement; used business names without filing for and receiving Department approval; Coomer’s employee, Beatrice Humer (see Beatrice M. Humer below), completed a PAIP application in which she failed to record a known accident that occurred earlier in the day; Humer issued a PAIP temporary insurance ID card which had no force or effect, because the insurance was not bound as required; Humer issued a noncompliant cash receipt; and Coomer issued an check on an account having insufficient funds as payment for his insurance license renewal fee.  Sanction:  Fine - $4,750.

Beatrice M. Humer, Willingboro, NJ
Consent Order #E09-13, March 10, 2009; Humer completed a PAIP application in which she failed to record a known accident that occurred earlier in the day; and issued a PAIP temporary insurance ID card which had no force or effect, because the insurance was not bound as required.  Sanctions:  Revocation of license; Fine - $2,000.

Charles D. Melita, Woodbridge, NJ
Melita Associates, LLC, Woodbridge, NJ
Consent Order #E09-18, March 30, 2009; Respondents sold group health insurance coverage through a purported union that was later determined by the USDOL not to constitute a “labor organization;” collected insurance premium totaling $91,620 but failed to timely remit the premium to the carrier and failed to notify enrollees that coverage had been canceled; failed to disclose to the enrollees the true premium charged by the carrier by incorporating premium with charges for fees and dues; commingled premiums with fees and dues in a non-trust account; collected premium purportedly as a “reserve” and thereafter disbursed a portion to themselves as income (the premium was subsequently reimbursed); and used an unregistered trade name.  Sanctions:  Revocation of licenses; Fine - $20,000.

Matters Resolved without Determination of Violation

Steven J. McCaffrey; Consent Order #E09-11, March 5, 2009; Issue: licensee address information; administrative sanction - $250.

 
February


Final Orders

Jesse D. McCaskill, Fair Lawn, NJ
Final Decision and Order #E09-09, February 18, 2009.  The Final Decision and Order approves a settlement resolving charges contained in OTSC E08-21, which charges pertain to the producer’s failure to satisfy the payment obligations set forth in a November 19, 1997 consent order.  Under the present settlement, McCaskill will pay a fine equivalent to the outstanding unpaid fine plus an additional $1,500, satisfy his outstanding restitution obligation, and remain subject to suspension or revocation in the event of a default.  Sanctions:  Restitution - $3,510.81; Fine - $4,000.

F. Roger Strandskov, Towaco, NJ
Eastern Insurance Agency, Inc., Towaco, NJ
Final Decision and Order #E09-07, February 4, 2009; Strandskov is unworthy of continued licensure as a result of his conviction of the second degree crime of Theft-Illegal Retention for which he was sentenced to imprisonment and payment of restitution totaling more than $610,000; each act of misappropriation underlying the criminal conviction, which acts pertain to premium owed to insurers, constitutes a separate administrative violation by Strandskov and his agency, Eastern.  Sanctions:  Revocation of licenses; Fine - $60,000.

Consent Orders

Manuela C. Bolat, West Collingswood, NJ
Consent Order E09-10, February 25, 2009; Producer failed to forward required documentation to an insurer in conjunction with an application, resulting in cancellation of the policy; and failed to timely respond to Department inquiries.  Sanction: Fine - $1,500.

 
January


Consent Orders

Dennis J. Gaggini, Bridgeton, NJ
Consent Order #E09-01, January 7, 2009; Producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds.  Sanction:  Fine - $500.

Barton C. Harris, Valley Stream, NY
Consent Order #E09-02, January 7, 2009; Producer issued a check to the Department for payment of a licensing fee which was dishonored for insufficient funds, and failed to timely notify the Department of a change of address.  Sanction:  Fine - $750.

Van C. Kirchhoff, Weston, FL
Consent Order #E09-05, January 30, 2009; Producer failed to timely notify the Department of an NASD action and determination, and failed to disclose these matters in subsequent producer renewal applications.  Sanction:  Revocation of license.

Robert A. Mogil, New York, NY
Alvin Mogil Agency, Inc., d/b/a The Mogil Organization, New York, NY
Consent Order #E09-03, January 7, 2009; An unlicensed person transacted the business of insurance and was paid commissions by the Mogil Agency (Robert Mogil being the designated responsible producer for the agency).  Sanction:  Fine - $7,500.

Arthur S. Pellechio, Jr., Wharton, NJ
Consent Order #E09-06, January 30, 2009; Pellechio completed an application on behalf of a client to purchase an annuity from an insurer even though he was not an authorized agent of that insurer.  Sanction:  Fine - $2,500.

 

Previous Years
 
 
OPRA
OPRA is a state law that was enacted to give the public greater access to government records maintained by public agencies in New Jersey.
line
Adobe Acrobat
You will need to download the latest version of Adobe Acrobat Reader in order to correctly view and print PDF (Portable Document Format) files from this web site.
state seal
Copyright © 2011, State of New Jersey
New Jersey Department of Banking and Insurance