The Department of Banking News Bulletin 

Bulletin # 2113
Week Ending August 20, 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.

BRANCH ACTIVITY
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 Financial Institutions Division, (860) 240-8180.

On August 11, 2004, the Commissioner entered into a Settlement Agreement with Investment One, LLC. The Settlement Agreement was based on an investigation by the Consumer Credit Division that found that on or about November 2003, Investment One, LLC employed or retained an originator without first registering such person under Part I(A) or Part I(B) of Chapter 668 of the Connecticut General Statutes, in violation of Section 36a-486(b) of the Connecticut General Statutes and made and brokered first mortgage loans from an unlicensed location in violation of Section 36a-490(a) of the Connecticut General Statutes. Such findings constituted grounds for the revocation of Investment One, LLC's first mortgage licenses pursuant to Section 36a-494(a)(1) of Chapter 668 and secondary mortgage licenses pursuant to Section 36a-517(a)(1) of Chapter 668 and, for the imposition of a civil penalty pursuant to Section 36a-50 of the Connecticut General Statutes. Pursuant to the Settlement Agreement, Investment One, LLC agreed to comply with all statutory requirements governing the registration of affected personnel and to review, revise and implement such supervisory and compliance procedures as are necessary to ensure compliance with Part I(A) and Part I(B) of Chapter 668 and to refrain from engaging in conduct that would constitute a violation of such sections. In addition, Investment One, LLC agreed to remit to the Department of Banking $9,000 as a civil penalty.

On July 27, 2004, the Commissioner entered into a Settlement Agreement with JBC Legal Group, P.C. f/k/a JBC & Associates, P.C. ("JBC"). The Settlement Agreement was based on an investigation by the Consumer Credit Division. As a result of the investigation, pursuant to Section 36a-50 of the Connecticut General Statutes, as amended by Public Act 03-259, the Commissioner issued a Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing against JBC & Associates, P.C. The Notice alleged that JBC & Associates, P.C. acted as a consumer collection agency within Connecticut without a license, in violation of Section 36a-801 of the Connecticut General Statutes. Pursuant to the Settlement Agreement, JBC agreed that neither JBC Legal Group, P.C. nor JBC & Associates, P.C. would act as a consumer collection agency within Connecticut. In addition, JBC agreed to remit to the Department of Banking $18,000 as a civil penalty.

CREDIT UNION ACTIVITY
Merger

On August 16, 2004, pursuant to Section 36a-468a of the Connecticut General Statutes, as amended by Public Acts 03-84, 03-259 and 04-257, the Commissioner approved the merger of Harborview Credit Union, Inc., New Haven, a Connecticut credit union, into Dutch Point Credit Union, Inc., a Connecticut credit union.