ALJDEC decisions subject to certification as final

19A-061-INS · Department of Insurance · 2019-08-19

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: July 31, 2019 APPEARANCES: No one appeared for Respondent; Deian Ousounov, Esq. for the Department of Insurance ADMINISTRATIVE LAW JUDGE: Thomas Shedden

FINDINGS OF FACT On June 18, 2019, the Arizona Department of Insurance (“Department”) issued a Notice of Hearing setting the above-captioned matter for hearing at 1:00 p.m. July 31, 2019 at the Office of Administrative Hearings. Respondent Francisco C. Delgado did not appear at the scheduled time and the matter was convened in his absence at about 1:17 p.m. The Department presented the testimony of Assistant Director Steven Fromholtz. Mr. Delgado holds license No. [number redacted]. Mr. Delgado’s license is due to expire on August 31, 2020. Through a Sentencing Order dated February 22, 2019, Mr. Delgado was found guilty of shoplifting, a class 5 felony, and of organized retail theft, a class 4 felony. Among other things, Mr. Delgado was sentenced to serve four years of supervised probation, and he was ordered to pay restitution of $16,940.91 and $9580 to two retailers. Mr. Delgado did not report to the Department that he had been convicted of the two felonies within thirty days of the convictions. The Department learned of the convictions through a notification from the Superior Court. The Department considers Mr. Delgado’s criminal convictions to be of great concern because insurance producers are in a position of trust and have access to people’s personal information, including social security numbers, and they often collect premiums from people. In addition, in this case the nature of his convictions and the amount of restitution raise additional concerns for the Department. The Department requests that Mr. Delgado’s license be revoked. CONCLUSIONS OF LAW The Department bears the burden of persuasion. Ariz. Rev. Stat. § 41- 1092.07(G). The burden of proof at an administrative hearing falls to the party asserting a claim, right or entitlement. The standard of proof is that of the preponderance of the evidence. Ariz. Admin. Code § R2-19-119. A preponderance of the evidence is: The greater weight of the evidence, not necessarily established by the greater number of witnesses testifying to a fact but by evidence that has the most convincing force; superior evidentiary weight that, though not sufficient to free the mind wholly from all reasonable doubt, is still sufficient to incline a fair and impartial mind to one side of the issue rather than the other.

Black’s Law Dictionary 1373 (10th ed. 2014). Mr. Delgado was required to report to the Department that he had been convicted of a felony within thirty days of the conviction, but did not do so, which is a violation of Ariz. Rev. Stat. sections 20-301 and 20- 295(A)(2), and grounds on which the Department may discipline his license. Mr. Delgado has been convicted of two felonies, for which the Department may discipline his license. Ariz. Rev. Stat. § 20-295(A)(6). Considering the nature of Mr. Delgado’s felony convictions and his failure to appear at the hearing, Mr. Delgado’s license should be revoked. ORDER IT IS ORDERED that Francisco C. Delgado’s license number [number redacted] is revoked. 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 will be the date of that certification.

Done this day, August 19, 2019.

/s/ Thomas Shedden Thomas Shedden Administrative Law Judge

Transmitted electronically to:

Keith A. Schraad, Director Arizona Department of Insurance

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Office of Administrative Hearings 1740 West Adams Street, Lower Level Phoenix, Arizona 85007 (602) 542-9826