The Department of Banking News Bulletin 

Bulletin # 2140
Week Ending February 25, 2005

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, Banking Commissioner, 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 February 18, 2005, pursuant to Section 36a-628 of the Connecticut General Statutes, BLL Acquisition LLC, a Delaware limited liability company, filed an application to acquire the existing business of Business Lenders, LLC, a wholly owned subsidiary of Medallion Financial Corp., and to engage in the business of a business and industrial development corporation in this state as a participating lender under the federal Small Business Administration loan guarantee programs with such business to continue under the name "Business Lenders, LLC".

CONSUMER CREDIT DIVISION ACTIVITY
Consent Order Issued

On February 22, 2005, the Commissioner issued a Consent Order against Olympia Mortgage Corp. ("Olympia"). The Consent Order was based on an investigation by the Consumer Credit Division. As a result of the investigation, pursuant to Sections 36a-50, as amended by Public Act 03-259, 36a-51, 36a-490(b), 36a-494, as amended by Public Act 04-69, 36a-515(b) and 36a-517 of the Connecticut General Statutes, the Commissioner issued a Notice of Intent to Refuse to Renew First Mortgage Lender/Broker License, Notice of Intent to Refuse to Renew Secondary Mortgage Lender/Broker License, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing ("Notice") against Olympia. The Notice alleged that Olympia failed to promptly notify the Commissioner in writing of an Order of Summary Suspension issued by the State of New York Banking Department and an order issued by the California Department of Corporations, in violation of Sections 36a-490(b) and 36a-515(b) of the Connecticut General Statutes. Pursuant to the Consent Order, the licenses of Olympia to act as a first mortgage lender/broker and secondary mortgage lender/broker in Connecticut were not renewed and Olympia was required to remit to the Department of Banking $500 as a civil penalty.

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Investment Adviser Assessed $1,950 for Unregistered
Investment Adviser Agent Activity

On February 22, 2005, the Commissioner entered into a Stipulation and Agreement with Barker Asset Management, Inc., a Connecticut-registered investment adviser located at 28 Big Oak Road, Stamford, Connecticut. The Stipulation and Agreement alleged that, following its organizational change from a sole proprietorship to a corporation in January 2001, the firm failed to register an investment adviser agent and, in so doing, contravened Section 36b-6(c) of the Connecticut Uniform Securities Act and Section 36b-31-6b(a) of the Regulations thereunder. Pursuant to the Stipulation and Agreement, the firm agreed to comply with all statutory requirements governing the registration of affected personnel as investment adviser agents and to implement such procedures as were necessary to ensure such compliance. In addition, the firm agreed to pay $1,950 to the department. Of that amount, $1,750 constituted an administrative fine and $200 represented past due investment adviser agent registration fees.