Pennsylvania Dept. Notes Enforcement Actions

Acting Pennsylvania Insurance Commissioner Joel Ario announced the results of the department’s first-quarter enforcement actions against entities and individuals who were found guilty of violating insurance laws. The actions resulted in penalties and restitution totaling more than $14 million.

The following is a list of enforcement actions concluded by the Pennsylvania Insurance Department in the first quarter of 2008, by county. In some cases, the parties referenced did not admit any liability. Those interested in seeking additional information are encouraged to review the actions in their entirety on the department’s Web site, www.insurance.state.pa.us, (keyword: enforcement).

Allegheny
Terence Young – Pittsburgh - Felony conviction; indefinite license supervision granted with approved § 1033 waiver application.

Berks

Matthew A. Delp Jr. – Douglassville - Unauthorized use of license number for annuity sales; license surrender.

Bucks

Suanne Bender – Quakertown - Felony conviction; indefinite license supervision granted with approved § 1033 waiver application.

Larry R. Douglas – Croydon - Felony conviction; indefinite license supervision of motor vehicle physical damage appraiser license granted with approved § 1033 waiver application.

Darin W. Martin – Yardley - Deceptive and misleading solicitations to mortgagers; $4,000 penalty and five-year license supervision.

Sherri Yilmaz – Croydon - Felony conviction; indefinite license supervision granted with approved § 1033 waiver application.

Delaware
John W. Eberle – Wayne - Advertised a $125,000 viatical policy for sale on E-Bay; surrender of license.

Shawn M. Guido - Drexel Hill - Felony conviction; indefinite license supervision granted with approved § 1033 waiver application.

John J. Lynch – Havertown - Failure to indicate annuity and life replacement and give notice of annuity replacement, misquoted an annuity rate; $5,000 penalty and five-year license supervision.

Brian J. Newmark – Havertown - Felony conviction for wire fraud, mail fraud and perjury; license revocation.

Stephen J. Washkalavitch - Glen Mills - Failed to leave copy of appraisal; three-year license supervision of motor vehicle, physical damage appraiser license.

Fayette
Patricia Sines – Markleysburg - Failure to remit $79 cash premium payment to Nationwide; surrender of license.

Lackawanna
Angel L. Gonzalez – Scranton - Felony conviction; indefinite license supervision granted with approved § 1033 waiver application.

Lehigh
Kyle P. Reilly – Alburtis - Replacement error without policyholder authorization; five-year license supervision.

Montgomery
Michael P. Graham - Huntingdon Valley - Unlicensed public adjuster activity; $1,000 fine and five-year license supervision.

Philadelphia
AIG National Insurance Company – Philadelphia - Alleged scheme involving contingent compensation; $6,600,000 fine, $2,613,350 costs, $2,525,400 reimbursement of investigative costs, $1,813,613 premium taxes, three-year reporting obligation, additional business reforms, disclosure to prospective policyholders and a compliance program.

Aida E. Padilla – Philadelphia - Automobile insurance violations; license revocation

Donte Sterling, dba Silverline Adjustment Inc. – Philadelphia - Failure to release client from contract, failure to resolve client issues; $2,000 penalty and two-year supervision of public adjuster license.

Westmoreland
Kathleen B. Thomas - North Huntingdon - Diverted mortgage-related fund of $890,000 in 2007, misrepresentation; license revocation.

Out of State

American Business & Personal Insurance Mutual Inc. - Chicago, IL - Late filing of workers compensation accident & sickness report; $3,000 penalty.

American Investors Life Insurance Company - Topeka, KS, AmerUs Life Insurance Company - Des Moines, IA - Failure to properly oversee producers on annuity sales; $78,000 payment for administrative and legal fees, cooperation with related investigations, full enforcement of current compliance plan.

Joseph B. Jehoich - Virginia Beach, VA - Failure to report two felony arrests and convictions; license revocation.

Kelli M. Miller - Chicago, IL - License revocation in home state and four others; license revocation.

Hanna M. Olson - Elk Grove, CA - Felony conviction in home state; license revocation.

Paramount Insurance Company - New York, NY - Untimely submission of workers compensation accident & illness prevention report; cease and desist.

Public Service Mutual Insurance Company - New York, NY - Untimely submission of workers compensation accident & illness prevention report; cease and desist.

Rami Ikbal Saba - Lowell, MI - Felony arrest in Michigan for felony mail fraud, financial institution fraud and aggravated identity theft; non-resident license revocation.

Michael J. Spillert - Parsippany, NJ - Failure to report National Association of Securities Dealers action; surrender of non-resident license.