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IN THE MATTER OF: FAIRVIEW MORTGAGE CORP |
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CONSENT ORDER |
WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part I of Chapter 668, Sections 36a-485 to 36a-534c, inclusive, of the Connecticut General Statutes, “Mortgage Lenders, Correspondent Lenders, Brokers and Loan Originators”;
WHEREAS, Fairview is a New York corporation that was licensed as a mortgage broker under Part I of Chapter 668, Sections 36a-485 et seq., of the Connecticut General Statutes for the January 1 to December 31, 2012 licensing period, which such license has since expired;
WHEREAS, the Commissioner, through the Consumer Credit Division of the Department of Banking, pursuant to the authority granted by Section 36a-17(a) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96, and Section 36a-498f of the Connecticut General Statutes, investigated the activities of Fairview to determine if it had violated, was violating, or was about to violate the provisions of the Connecticut General Statutes within the jurisdiction of the Commissioner;
WHEREAS, on November 14, 2012, as a result of the investigation, the Commissioner, acting pursuant to Sections 36a-494(b) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96, Section 36a-52(a) of the Connecticut General Statutes and Section 36a-50(a) of the Connecticut General Statutes, as amended by Public Act 12-96, issued an Amended and Restated Notice of Intent to Issue Order to Cease and Desist, Amended and Restated Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing (“Notice”) against Fairview, which Notice is incorporated herein by reference;
WHEREAS, the Commissioner alleged in the Notice that Fairview failed to timely file its fourth quarter mortgage call report for 2011 that was due on February 14, 2012 (“Q4”), failed to file its financial condition report for 2011 that was due on March 30, 2012 (“Annual”), failed to timely file its first quarter mortgage call report that was due on May 15, 2012 (“Q1”), and failed to file its second quarter mortgage call report that was due on August 14, 2012 (“Q2”), all in violation of Section 36a-534b(c)(3) of the 2102 Supplement to the General Statutes in effect prior to October 1, 2012, and/or Section 36a-534b(c)(3) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96, which such violations form the basis to issue an order to cease and desist pursuant to Section 36a-494(b) of the 2012 Supplement to the General Statutes, as amended, and Section 36a-52(a) of the Connecticut General Statutes, and to impose a civil penalty pursuant to Section 36a-494(b) of the 2012 Supplement to the General Statutes, as amended, and Section 36a-50(a) of the Connecticut General Statutes, as amended;
WHEREAS, on November 15, 2012, the Notice was sent by certified mail, return receipt requested, to Fairview (Certified Mail No. 70112000000247316208);
WHEREAS, on November 19, 2012, Fairview received the Notice, and on November 26, 2012 requested a hearing;
WHEREAS, Section 4-177(c) of the Connecticut General Statutes and Section 36a-1-55(a) of the Regulations of Connecticut State Agencies provide that a contested case may be resolved by consent order, unless precluded by law;
WHEREAS, the Commissioner and Fairview now desire to resolve the matters alleged in the Notice and set forth herein;
WHEREAS, Fairview admits that it did not timely file its Q4 and Q1 reports as described in the Notice and set forth herein, did not file its Q2 report described in the Notice and set forth herein until November 14, 2012, and did not file the Annual report described in the Notice and set forth herein until December 20, 2012, and Fairview acknowledges that this Consent Order is a public record and is a reportable event for purposes of the regulatory disclosure questions on the Nationwide Mortgage Licensing System and Registry (“NMLS”), as applicable;
WHEREAS, Fairview voluntarily agrees to consent to the entry of the sanction described below, solely for the purpose of obviating the need for further formal administrative proceedings concerning the allegations contained in the Notice and set forth herein;
WHEREAS, Fairview agrees that the Notice may be used in construing the terms of this Consent Order and agrees to the language of this Consent Order;
AND WHEREAS, Fairview through its execution of this Consent Order, voluntarily agrees to waive any applicable procedural rights, including Fairview’s right to a hearing as it pertains to the allegations contained in the Notice and set forth herein, and voluntarily waives any right to seek judicial review or otherwise challenge or contest the validity of this Consent Order.
CONSENT TO ENTRY OF SANCTION
WHEREAS, Fairview through its execution of this Consent Order, consents to the Commissioner’s entry of a Consent Order imposing the following sanction:
No later than the date this Consent Order is executed by Fairview, Fairview shall not be eligible to reapply for licensure as a mortgage lender, mortgage correspondent lender or mortgage broker prior to June 30, 2013.
CONSENT ORDER
NOW THEREFORE, the Commissioner enters the following:
| 1. | The Sanction set forth above be and is hereby entered; |
| 2. | Upon issuance of this Consent Order by the Commissioner, this matter will be resolved and the Commissioner will not take any future enforcement action against Fairview based upon the allegations contained herein; provided that issuance of this Consent Order is without prejudice to the right of the Commissioner to take enforcement action against Fairview based upon a violation of this Consent Order or the matters underlying its entry, if the Commissioner determines that compliance with the terms herein is not being observed or if any representation made by Fairview and reflected herein is subsequently discovered to be untrue; |
| 3. | So long as this Consent Order is promptly disclosed by Fairview and its control persons on NMLS, as applicable, nothing in the issuance of this Consent Order shall adversely affect the ability of Fairview to apply for or obtain licenses or renewal licenses under Part I of Chapter 668, Sections 36a-485 et seq., of the Connecticut General Statutes on or after June 30, 2013, provided all applicable legal requirements for such license are satisfied; and |
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This Consent Order shall become final when issued.
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Issued at Hartford, Connecticut
this 1st day of February 2013. ________/s/_________
Howard F. Pitkin
Banking Commissioner
I, Michael Cincotta, state on behalf of Fairview Mortgage Corp, that I have read the foregoing Consent Order; that I know and fully understand its contents; that I am authorized to execute this Consent Order on behalf of Fairview Mortgage Corp; that Fairview Mortgage Corp, agrees freely and without threat or coercion of any kind to comply with the sanction entered and terms and conditions ordered herein; and that Fairview Mortgage Corp, voluntarily agrees to enter into this Consent Order, expressly waiving the procedural rights set forth herein as to the matters described herein.
By: ________/s/________
Name: Michael Cincotta
Title: CEO
Fairview Mortgage Corp
State of: NY
County of: Nassau
On this the 24 day of January 2013, before me, Robin Curran, the undersigned officer, personally appeared Michael Cincotta, who acknowledged himself/herself to be the CEO of Fairview Mortgage Corp, a corporation, and that he/she as such CEO, being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the corporation by himself/herself as CEO.
In witness whereof I hereunto set my hand.
_________/s/_________
Notary Public
Date Commission Expires: Feb. 17, 2015