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IN THE MATTER OF: VERIZON WIRELESS |
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CONSENT ORDER |
WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part II of Chapter 668, Sections 36a-535 to 36a-546, inclusive, of the Connecticut General Statutes, “Finance Companies”;
WHEREAS, Verizon is a Delaware limited liability company with an office at One Verizon Way, Basking Ridge, New Jersey, that is not currently licensed as a sales finance company under Part II of Chapter 668, Sections 36a-535, et seq., of the Connecticut General Statutes;
WHEREAS, on March 4, 2014, Verizon filed a “Main Office – Application for Sales Finance Company License” with the Commissioner, which application is currently pending;
WHEREAS, the Commissioner, through the Consumer Credit Division of the Department of Banking, conducted an investigation pursuant to Section 36a-17 of the Connecticut General Statutes, as amended by Public Acts 14-7 and 14-89, into the activities of Verizon 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, as a result of such investigation, the Commissioner alleges that, during the period of March 1 to May 31, 2014, Verizon engaged in the business of a sales finance company in Connecticut without a license, in violation of Section 36a-536 of the Connecticut General Statutes;
WHEREAS, the Commissioner believes that such allegation would support initiation of enforcement proceedings against Verizon, including proceedings to issue a cease and desist order against Verizon pursuant to Sections 36a-543(d) and 36a-52(a) of the Connecticut General Statutes and impose a civil penalty of up to one hundred thousand dollars ($100,000) per violation upon Verizon pursuant to Sections 36a-543(d) and 36a-50(a) of the Connecticut General Statutes;
WHEREAS, initiation of such enforcement proceedings would constitute a “contested case” within the meaning of Section 4-166(4) of the Connecticut General Statutes, as amended by Public Act 14-187;
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 Verizon acknowledge the possible consequences of formal administrative proceedings, and Verizon voluntarily agrees to consent to the entry of the sanctions imposed below without admitting or denying any allegation set forth herein and solely for the purpose of obviating the need for formal administrative proceedings concerning the allegation set forth herein;
WHEREAS, Verizon specifically assures the Commissioner that the violation described herein shall not occur in the future;
AND WHEREAS, Verizon, through its execution of this Consent Order, voluntarily agrees to waive its procedural rights, including a right to a notice and an opportunity for a hearing as it pertains to the allegation set forth herein, and voluntarily waives its right to seek judicial review or otherwise challenge or contest the validity of this Consent Order.
VERIZON AGREEMENT TO ENTRY OF CONSENT ORDER
WHEREAS, Verizon, through its execution of this Consent Order, consents to the Commissioner’s entry of a Consent Order imposing the following sanctions:
| 1. | No later than the date this Consent Order is executed by Verizon, Verizon shall remit to the Department of Banking by cashier’s check, certified check or money order made payable to “Treasurer, State of Connecticut”, the sum of Ten Thousand Dollars ($10,000) as a civil penalty; and |
| 2. | Verizon shall not engage in the business of a sales finance company in Connecticut without a license, in violation of Section 36a-536 of the Connecticut General Statutes. |
CONSENT ORDER
NOW THEREFORE, the Commissioner enters the following:
| 1. | The Sanctions set forth above be and are 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 Verizon based upon the allegation set forth herein; provided that issuance of this Consent Order is without prejudice to the right of the Commissioner to take enforcement action against Verizon 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 Verizon and reflected herein is subsequently discovered to be untrue; |
| 3. | Nothing in the issuance of this Consent Order shall adversely affect the ability of Verizon to apply for or obtain licenses or renewal licenses under Part II of Chapter 668, Sections 36a-535, et seq., of the Connecticut General Statutes; and |
| 4. | This Consent Order shall become final when issued. |
Issued at Hartford, Connecticut
this 25th day of February 2015. _______/s/_________
Bruce H. Adams
Acting Banking Commissioner
I, Karen M. Shipman, state on behalf of Verizon Wireless Services, LLC, 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 Verizon Wireless Services, LLC; that Verizon Wireless Services, LLC agrees freely and without threat or coercion of any kind to comply with the sanctions entered herein; and that Verizon Wireless Services, LLC 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: Karen M. Shipman
Title: Assistant Secretary
Verizon Wireless Services, LLC
State of: New Jersey
County of: Somerset
On this the 3rd day of February 2015, before me, Jane Kramer, the undersigned officer, personally appeared Karen M. Shipman who acknowledged himself/herself to be the Assistant Secretary of Verizon Wireless Services, LLC, a member managed/manager managed limited liability company, and that he/she as such Officer, being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the limited liability company by himself/herself as Verizon Wireless Services, LLC.
In witness whereof I hereunto set my hand.
_________/s/_________
Notary Public
Date Commission Expires: March 01, 2016