The Department of Banking News Bulletin
Bulletin # 1861
Week Ending October 22, 1999
This bulletin constitutes the only official notification you will receive from this office concerning any of the following applications. Any observations you may have are solicited. Any comments should be in writing to John P. Burke, Banking Commissioner, at the Connecticut Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800 or via E-mail to email@example.com. Written comments will be considered only if they are received within ten days from the date of this bulletin.
STATE BANK ACTIVITY
Section 36a-145 of the Connecticut General Statutes requires that each application for a branch, or for a limited branch at which loans will be made, be accompanied by a plan detailing how adequate services to meet the banking needs of all community residents will be provided. Plans are submitted when such applications are filed and are available for public inspection and comment at this Department for a period of 30 days. Questions concerning branch activity should be directed to the Bank Examination Division, (860) 240-8180.
Note: dates are listed in month/day/year format.
|10/21/99||First International Bank
|10/21/99||First International Bank
|* Limited Branch|
On October 19, 1999, pursuant to Section 36a-184 of the Connecticut General Statutes, an acquisition statement was filed by Orbitex Acquisition Holdings Corporation, a New York corporation, and indirectly by Orbitex Management Limited, a Bahamian corporation, to acquire up to 100% of the outstanding shares of common stock of Columbus Circle Trust Company, a Connecticut bank organized to function solely in a fiduciary capacity.
On October 19, 1999, the acquisition statement filed by Louis P. Celentano and Michele Montano to acquire 100% of the outstanding shares of common stock of Columbus Circle Trust Company, a Connecticut bank organized to function solely in a fiduciary capacity, was amended to indicate that Louis P. Celentano and Michele Montano plan to acquire, directly or indirectly, more than 10% of the outstanding shares of common stock of Columbus Circle Trust Company from Orbitex Acquisition Holdings Corporation.
CHECK CASHING SERVICE LICENSE ACTIVITY
Pursuant to the provisions of Section 36a-581 of the Connecticut General Statutes, on October 21, 1999, Connecticut State Check Cashing Service, Inc. received approval to operate a check cashing service limited facility at Hampton Inn, 129 Plains Road, Milford, Connecticut.
SECTION 36a-425 APPLICATIONS
On October 22, 1999, an application was filed by Arab Banking Corporation to establish an office of its subsidiary, ABC Capital, Inc., a Delaware corporation, at 2 Greenwich Plaza, Suite 100, Greenwich, Connecticut.
On October 22, 1999, an application was filed by UBS AG to establish an office of ARI Acquisition Corporation, a Massachusetts corporation; Allegis Realty Investors LLC and Agrivest LLC, both Massachusetts limited liability companies; and Allegis Capital LLC, a Delaware limited liability company, at 242 Trumbull Street, Hartford, Connecticut, upon the consummation of UBS AG's indirect acquisition of the ownership interests therein.
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Cease and Desist Order Entered Into
On October 20, 1999, an Order to Cease and Desist and Notice of Right to Hearing against Visionary Entertainment Group, Inc. of 530 South Federal Highway, Deerfield Beach, Florida; Jodie Allen, its president and chief executive officer; and Elyse Berzon, an agent of the company, was entered into. The Order to Cease and Desist alleged that Visionary Entertainment Group, Inc., through Berzon, offered and sold unregistered securities in the form of ownership interests in movies to be produced by the company. One such film was "Little Secret Agent Girl." Berzon was purportedly not registered as an agent of the issuer at the time. The Order also claimed that Visionary Entertainment Group, Inc. and Allen violated the antifraud provisions of the Connecticut Uniform Securities Act by making false representations concerning the prospects of "Little Secret Agent Girl" and guaranteeing that investor funds would be returned if the company failed to provide a film within a reasonable time and within budget by February, 1998. Each respondent was afforded an opportunity to request a hearing on the allegations in the Order to Cease and Desist.
Broker-Dealer Sanctioned for Unregistered
Branch Office Activity
On October 18, 1999, a Consent Order was entered into with respect to FSC Securities Corporation, a broker-dealer having its principal office at 2300 Windy Ridge Parkway, Suite 1100, Atlanta, Georgia. The Consent Order alleged that, from at least May 1998 through August 1998, the firm transacted business from 70 Balfour Drive, West Hartford, Connecticut, without registering that location as a branch office under the Connecticut Uniform Securities Act.
The Consent Order imposed a $6,500 monetary sanction on the firm, directing FSC Securities Corporation to disgorge $4,000 in commissions earned during the period of unregistered branch office activity; pay an administrative fine of $1,500 and contribute $1,000 to the agency's Investor Education Fund. In addition, the Consent Order mandated that the firm implement revised supervisory and compliance procedures and issue a compliance notice to its in-state agents both explaining the firm's supervisory obligations and educating them on trade name filing requirements under state law.
John P. Burke