The Department of Banking News Bulletin 

Bulletin # 2089
Week Ending March 5, 2004

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, Commissioner of Banking, at the Connecticut Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800 or via E-mail to john.burke@ct.gov. Written comments will be considered only if they are received within ten days from the date of this bulletin.

Field of Membership

On February 24, 2004, pursuant to Section 36a-462b(d) of the Connecticut General Statutes, as amended by Public Act 03-196, Corporate America Family Credit Union, Elgin, Illinois, filed an application to expand its field of membership to include employees of IWORX, Bristol, Connecticut, and employees of Northern Lights Communications, Inc., Bristol, Connecticut.

On March 5, 2004, pursuant to Section 36a-437a(h)(3) and Section 36a-438a(d) of the Connecticut General Statutes, as amended by Public Act 03-84, approval was granted to Dutch Point Credit Union, Inc., Wethersfield, Connecticut, to amend its bylaws to change its field of membership to consist of persons, who live, work, worship, or attend school in, and businesses and other legal entities located in the Hartford, Middlesex, New Haven, and New London counties, as well as their family members.

On March 5, 2004, pursuant to Section 36a-462b(d) of the Connecticut General Statutes, as amended by Public Act 03-196, approval was granted to Corporate America Family Credit Union, Elgin, Illinois, to expand its field of membership to include employees of Superior Electric, Bristol, Connecticut, and employees of Select Energy Contracting, Inc., Bristol, Connecticut.

Conversion

On March 5, 2004 pursuant to Section 36a-468b of the Connecticut General Statutes, as amended by Public Act 03-84, approval was granted to Fairfield County Credit Union, Inc., Stamford, Connecticut, to convert from a Connecticut credit union to a federal credit union.

MONEY TRANSMITTER LICENSE ACTIVITY

On March 4, 2004, pursuant to Section 36a-600 of the Connecticut General Statutes, Caribbean Airmail, Inc. received approval to engage in the business of money transmission.

CONVERSION & ACQUISITION

On March 3, 2004, Savings Institute, a capital stock Connecticut bank with its main office located in Willimantic, filed an application pursuant to Section 36a-137 of the Connecticut General Statutes, as amended by Public Act 03-259, to convert to a capital stock federal bank. Also on March 3, 2004, an acquisition statement was filed on behalf of SI Bancorp MHC, a federal mutual holding company in organization, and SI Financial Group, Inc., its wholly-owned subsidiary, pursuant to Section 36a-184 of the Connecticut General Statutes, for the acquisition of all of the voting securities of Savings Institute immediately following the conversion. The filing included a community reinvestment plan, which is available for public inspection and comment at the Department of Banking for a period of 30 days.

CONSUMER CREDIT DIVISION ACTIVITY

On March 2, 2004, the Commissioner entered into a settlement agreement with Harbour Point Funding, Inc. ("HPF"), 20F Elm Street, Tariffville, Connecticut. The notice that initiated the administrative action brought against HPF alleged that the company, through its employee, attempted to broker a secondary mortgage loan and provided to the lender a copy of what it fraudulently represented as its current Connecticut secondary mortgage broker license. Pursuant to the Settlement Agreement, HPF surrendered its first mortgage broker license and remitted to the Department of Banking $3,000 as a civil penalty.

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
California Firm Fined $30,000 in Connection
With Sales of Membership Units

On March 3, 2004, the Commissioner entered an Order Imposing Fine against Light Management Systems Fund, LLC of 5694 Mission Center Road, Suite 428, San Diego, California. The action followed a November 25, 2003 Order to Cease and Desist issued by the Commissioner against the respondent. The Order to Cease and Desist, being uncontested, had become permanent on December 20, 2003. In fining Light Management Systems Fund, LLC $30,000, the Commissioner found that 1) the respondent was formed for the purpose of investing in Ambient Control Systems, Inc.; 2) from February 2002 forward, the respondent sold unregistered, non-exempt membership units in Light Management Systems Fund, LLC to Connecticut investors in violation of Section 36b-16 of the Connecticut Uniform Securities Act (the "Act"); 3) in contravention of Section 36b-6(b) of the Act, the respondent employed an unregistered agent of issuer in selling the membership units; and 4) the respondent violated the antifraud prohibition in Section 36b-4 of the Act by failing to disclose in its offering memorandum a February 20, 2002 Summary Order to Cease and Desist issued against the respondent by the Pennsylvania Securities Commission; a November 30, 1999 permanent order to cease and desist issued by the South Dakota Division of Securities against Ambient Control Systems, Inc.; an April 4, 2001 Desist and Restrain Order issued against Ambient Control Systems, Inc. by the California Department of Corporations and a November 29, 2001 Order of Prohibition issued against Ambient Control Systems, Inc. by the State of Illinois Securities Department.

Two Pennsylvania Firms Fined $20,000 for Regulatory Violations
in Connection With Note Sales

On March 3, 2004, the Commissioner entered an Order Imposing Fine against J.R.D. Productions, Inc. and Jan Lewan Show Gifts, Inc., both of 206 West 21^st Street, Hazelton, Pennsylvania. The respondents had been the subject of a November 19, 2003 Order to Cease and Desist which, being uncontested, had become permanent on December 16, 2003. In fining the respondents $20,000, the Commissioner found that from June 1992 to April 5, 2002, promissory notes were issued by both respondents absent compliance with the securities registration requirements in Section 36b-16 of the Connecticut Uniform Securities Act, and that Jan Lewandowski a/k/a Jan Lewan, seller of the notes, was not registered as an agent of issuer in violation of Section 36b-6(b) of the Act.