Oklahoma Insurance Commissioner Puts Pen to Paper, Resigns

With legal questions floating over him, Oklahoma Insurance Commissioner Carroll Fisher resigned from office last month, days before his ouster trial in the Oklahoma State Senate was set to begin.

Fisher has been under a dark legal cloud for some time now. The Oklahoma House of Representatives had accused Fisher of neglect of duty, corruption and incompetency, and he is facing trial on three felony charges, including two for embezzlement. A multi-county grand jury reportedly is continuing to look into allegations related to Fisher’s dealings with Texas businessman Gene E. Phillips.

He was also arrested in early August 2003 and charged with driving under the influence of alcohol, along with transporting an open container. He pled no contest to those charges.

Gov. Brad Henry, who in recent weeks called for Fisher to step down, said in a release, “At approximately 10:15 Friday morning [Sept. 24], Carroll Fisher’s legal counsel delivered a letter of resignation to my office. I accepted Mr. Fisher’s resignation effective immediately.

“For a number of weeks, I have urged Mr. Fisher to put the needs of Oklahoma first, do the right thing and step down from his position. In light of the criminal charges and impeachment proceedings pending against him, his decision to resign was, without question, the best course of action for the people of Oklahoma. Although Mr. Fisher can continue his legal battles as a private citizen, our state will be spared the cost and damage of an ouster trial in the Senate.

“After receiving his resignation, my office immediately contacted the state Insurance Department to ensure that the services it provides Oklahomans would continue to be delivered in a timely and efficient manner. By law, Deputy Insurance Commissioner Daryl England will serve as acting director until a successor is named.”

The Governor added he would immediately begin the process of appointing a new insurance commissioner.

Paul Sund, communications director for Gov. Henry’s office, told Insurance Journal-Texas/South Central, “The process (hiring a new commissioner) has literally just started. What we anticipate happening is that we will have numerous people recommended to us, people who apply for the position on their own, and we will probably go out and look at individuals on our own,” Sund said. “All of these people will have to go through a fairly detailed application process that will entail a criminal background check and a fair amount of other probing questions about their background.

“From that pool of candidates, Gov. Henry will pull down to a short list and ultimately want to interview individual candidates. Realistically, I think that process will take at least a month. He’s focused on filling it as quickly possible, but at the same time, wants to be very deliberate about it and make sure we get the right person. Gov. Henry is focused on making a selection where we don’t have to worry about this again in the future”

According to Sund, there is no set time frame for appointing a new commissioner. Sund also noted that the Governor and legislators are considering making the insurance commissioner’s post appointive rather than elective. “There might be better quality control under a system like that,” Sund said. “That would require changing the Oklahoma constitution, which would require a statewide vote. I certainly believe that will be an issue that will be debated in the coming legislative session.”

The next legislative session begins the first Monday in February 2005.

“The Oklahoma Legislative branch of government writes the laws that the Governor signs,” Deputy Insurance Commissioner England said in a release. “The Oklahoma Insurance Department has the job of enforcing those laws relevant to the insurance industry.

“Right now, Governor Henry has the job of making a decision of who will replace Carroll Fisher. …

“I want the citizens of Oklahoma to know that a very proud, confidant, and professional staff is running the Oklahoma Insurance Department. The department has 125 employees with an average of 7.4 years of service at their job. I have complete confidence in our staff in their ability to accomplish the business of insurance regulation for the state of Oklahoma.”

England invited “the public to visit or call us now or in the future. This has been a very difficult time, but we are ready, willing, able and going forward,” he said.

In a statement shortly after his resignation, Fisher offered the following:

“For the last six years, it has been my honor and privilege to serve the people of Oklahoma as insurance commissioner.

“It has been a tremendous honor to be involved in the lives of Oklahomans who were faced with insurance problems and we had the opportunity to help make sure the policy provisions of their insurance contracts were fulfilled.

“I have been proud of the job my staff and I have accomplished during that time. In 2000, we had approximately 41,000 insurance agents licensed in Oklahoma. At the end of 2003, we had 53,000. Likewise, in 2000, the Oklahoma Insurance Department collected $153 million in revenue for the State of Oklahoma. In 2003, we collected $197 million.

“However, as I prepared for my trial in the State Senate, I realized my efforts were futile. I have always prepared for success and not failure. When faced with that reality, I made the decision that I believe is in the best interest of all Oklahoma, most especially my family.

“As the Oklahoma Insurance Department moves forward, I know the citizens of this state will be in good hands. Every employee I hired was based on competence and not favor.”

As Sund noted, Fisher’s resigning on his own was a benefit in a number of ways to the people of Oklahoma.

“Given the criminal charges Commissioner Fisher was facing and the impeachment proceedings, the Governor just felt it was in the best interests of the people of Oklahoma for him [Fisher] to step down voluntarily,” Sund commented. “No one was going to be served by a lengthy impeachment trial that costs a lot of money and hurts the state’s reputation.”

Topics Oklahoma