ALJDEC decisions subject to certification as final

10A-198-INS · Department of Insurance · 2011-03-29

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: March 10, 2011 APPEARANCES: Special Assistant Attorney General Mary Kosinski appeared on behalf of the Arizona Department of Insurance; Marcellus Augustus Dandridge did not appear at the hearing. ADMINISTRATIVE LAW JUDGE: Lewis D. Kowal _____________________________________________________________________ FINDINGS OF FACT 1. At all times material to this matter, Marcellus Augustus Dandridge (“Respondent”) was and currently is licensed by the Arizona Department of Insurance (“Department”). 2. On March 22, 2010, the Department issued Respondent an accident/health and life producer license, license number 962912 (“License”), which expires on December 31, 2013. 3. Steven Fromholtz (“Mr. Fromholtz”), Producer Licensing Administrator of the Licensing Section of the Department, testified that when an application for a producer’s license is received and processed, it is forwarded to the Arizona Department of Public Safety (“DPS”) for processing, which includes processing by the Federal Bureau of Investigation for a criminal history background check to be conducted. 4. On August 11, 2010, the Department issued a letter to Respondent by mail, informing him that his fingerprint card could not be processed and was returned by DPS as illegible. In that letter, the Department requested that Respondent submit a replacement set of fingerprints and enclosed a blank Illegible Replacement Fingerprint Form. The Department provided a deadline of September 11, 2010, for the return of the completed replacement fingerprint form. 5. Because the Department did not receive the requested replacement fingerprint form from Respondent as requested, the Department sent another letter to Respondent on October 26, 2010, giving Respondent a deadline of November 15, 2010, to file with the Department an Illegible Replacement Fingerprint Form or a Voluntary Surrender of License Form. The Department indicated that the failure to respond to the letter would result in the initiation of disciplinary action being taken against the License. 6. Mr. Fromholtz testified that the Department has not received any change of address notification from Respondent and that the above-mentioned letters were sent to the mailing addresses of record the Department had for Respondent. 7. Mr. Fromholtz testified that to date, Respondent has not responded to the above-mentioned letters and has not submitted to the Department a new set of fingerprints. CONCLUSIONS OF LAW 1. This matter is a disciplinary proceeding wherein the Department must prove by a preponderance of the evidence that Respondent violated the State’s Insurance Laws. See A.AC. R2-19-119. 2. During the application process, the Director of the Department required Respondent to submit a full set of fingerprints and Respondent’s illegible fingerprint submission did not satisfy that requirement. See A.R.S. § 20-285(E)(2). 3. Respondent’s conduct, as set forth above, constitutes a violation of A.R.S. § 20-295(A)(1) by having failed to provide complete information in the license application. 4. Respondent’s conduct, as set forth above, constitutes the violation of any provision of A.R.S., Title 20, within the meaning of A.R.S. § 20- 295(A)(2). 5. Grounds exist for the Director of the Department to suspend, revoke, or refuse to renew the License pursuant to A.R.S. § 20-295(A). ORDER Based upon the above, the License shall be revoked on the effective date of the Order entered in this matter. In the event of certification of the Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order is 5 days from the date of that certification. Done this day, March 29, 2011.

/s/ Lewis D. Kowal Administrative Law Judge

Transmitted electronically to:

Christina Urias, Director Department of Insurance

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Office of Administrative Hearings 1400 West Washington, Suite 101 Phoenix, Arizona 85007 (602) 542-9826