The Department of Banking News Bulletin
Bulletin # 2903 - Week Ending October 11, 2019
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 Jorge L. Perez, Banking Commissioner, Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800. Written comments will be considered only if they are received within ten business days from the date of this bulletin.
STATE BANK ACTIVITY
Section 36a-145 of the Connecticut General Statutes requires certain applications for a branch or limited branch at which loans will be made, address how the establishment of the branch will be consistent with safe and sound banking practices and promote the public convenience and advantage. Plans are submitted when such applications are filed and are available for public inspection and comment at the Department for a period of 30 days. Questions concerning branch activity should be directed to the Financial Institutions Division, (860) 240-8180.
DATE: October 7, 2019
BANK: Dime Bank, Norwich
LOCATION: 351 North Frontage Road, New London, CT (ShopRite Supermarket)
ACTIVITY-BRANCH TYPE: Notice of Planned Closing of Branch
Findings of Fact, Conclusions of Law and Order
On October 4, 2019, following an administrative hearing, the Banking Commissioner issued Findings of Fact, Conclusions of Law and Order in the matter of: 1st Alliance Lending, LLC (NMLS # 2819) (“Respondent”), East Hartford, Connecticut.
The hearing was held as the result of an August 1, 2019, Notice of Automatic Suspension, Notice of Intent to Revoke Mortgage Lender License and Notice of Right to Hearing issued against Respondent (collectively, “Notice”). The Notice stated that Respondent’s failure to maintain a surety bond that runs concurrently with the period of its mortgage lender license constitutes sufficient grounds for the Commissioner to deny an application for such license under Section 36a-489(a)(1)(D) of the Connecticut General Statutes and constitutes sufficient grounds for the Commissioner to revoke Respondent’s mortgage lender license in Connecticut pursuant to Section 36a-494(a)(1) and subsections (a) and (b) of Section 36a-51 of the Connecticut General Statutes.
The hearing decision concluded that Respondent’s bond was cancelled effective July 31, 2019, and there was no evidence that Respondent obtained a reinstated bond or a new bond, and the license of Respondent to act as a mortgage lender in Connecticut from 111 Founders Plaza, Suite 1300, East Hartford, Connecticut, was revoked.
Reed Francis Bermingham (CRD No. 5526970) d/b/a Bermingham Wealth Strategies
On October 10, 2019, the Banking Commissioner issued an Order to Cease and Desist, Order to Make Restitution, Notice of Intent to Fine and Notice of Right to Hearing (Docket No. CRF-19-8509-S) against Reed Francis Bermingham of West Hartford, Connecticut and Guilford, Connecticut. Prior to May 18, 2018, Respondent Bermingham was registered as a broker-dealer agent and an investment adviser agent of Commonwealth Financial Network under the Connecticut Uniform Securities Act.
The action alleged that, following his departure from Commonwealth Financial Network, Respondent Bermingham advised one of his Commonwealth Financial Network clients that Respondent was opening Bermingham Wealth Strategies and that the client should sell his securities positions and open a brokerage account at TD Ameritrade with the proceeds. Respondent would then manage the securities portfolio for a fee. According to the action, although the client remitted $20,400 to Respondent, the monies were not deposited into the TD Ameritrade account but were used to pay for Respondent’s personal expenses. The action alleged that Respondent violated Section 36b-6(c)(1) of the Act by transacting business as an unregistered investment adviser and that Respondent engaged in practices that violated the antifraud provisions in Section 36b-5(a) of the Act.
Respondent Bermingham was afforded an opportunity to request a hearing on the Order to Cease and Desist, Order to Make Restitution and Notice of Intent to Fine.