|Name of Company:||Depawix Health Resources, Inc.|
|DATE OF LIQUIDATION:||June 11, 2013|
|Policy Cancellation Date:||June 11, 2011|
|Claims Filing Deadline:||June 11, 2014|
|date of discharge:||October 31, 2014|
|Type of Coverage:||Unauthorized Insurer|
|State of Domicile:||Florida|
|Status of Receivership:||Closed|
Notice of Receivership
On May 28, 2011, Judge Charles A. Francis of the Second Judicial Circuit Court entered an Order to Show Cause against Depawix Health Resources, Inc. (“Depawix”), and its related companies - Green Cross Managed Health Systems; Peck & Peck, Inc.; New American Health Planning; and Distribution by Datagen. Depawix claimed that it was only providing benefits to Depawix employees as defined in the Employee Retirement Income Security Act of 1974 (”ERISA”) Depawix further stated that the company was not engaged in the business of insurance and filed a Notice of Removal to Federal Court on June 2, 2011. A case management hearing took place in February 2013 in which Depawix agreed to drop its attempt to have the case moved to Federal Court and a final hearing date was set for June 11, 2013. The company consented to receivership and was placed into liquidation as of June 11, 2013.
On October 22,2014, Judge Francis signed the order discharging the Receiver from all duties, oligations, and liabilities in the administration of the Depawix receivership as of 12:01 AM on October 31, 2014. Due to a lack of assets, no distributions were made for this estate.
Depawix was incorporated in Georgia but not licensed there or in Florida. It issued health insurance in Florida without a Certificate of Authority. Despite the absence of any Certificate of Authority or any other authorization to transact insurance business in Florida, the Depawix companies engaged in the unlicensed and unauthorized transaction of insurance with consumers located in Florida, in violation of the Florida Insurance Code including, Sections 624.401 and 626.901, Florida Statutes. These companies marketed group and individual health insurance plans to small businesses and individuals, both directly and through licensed and unlicensed insurance agents under the guise of selling an employment opportunity with Depawix that provided medical benefits.
Pursuant to the information received from the Department of Financial Services, Division of Agents and Agencies, approximately 290 Florida consumers purchased insurance through Depawix. Each such transaction constituted the unauthorized transaction of insurance.