On November 1, 2010, the Banking Commissioner issued a Consent Order with respect to Robert A. Nixon.  The Consent Order alleged that Robert A. Nixon was charged in an information with, and pled guilty to, one count of theft, embezzlement or misapplication by a bank officer or employee of Castle Bank & Trust Company, and one count of tax evasion, crimes that are punishable with imprisonment for a term exceeding one year.  The Consent Order prohibited Robert A. Nixon from holding any position with any bank, Connecticut credit union or federal credit union, as defined in Section 36a-2 of the Connecticut General Statues, or with a holding company that holds a subsidiary that is a bank, as defined in Section 36a-2; or as licensee or registrant under Titles 36a or 36b of the Connecticut General Statutes, while the Consent Order is in effect, without the consent of the Commissioner

On November 1, 2010, pursuant to Sections 36a-126, 36a-184, 36a-411 and 36a-412(a)(1) of the Connecticut General Statutes, First Niagara Financial Group, Inc., a bank holding company with its principal place of business in New York and FNFG Merger Sub, Inc., its newly formed subsidiary, filed an acquisition statement and applications for the acquisition of New Alliance Bancshares, Inc., a bank holding company, and its wholly-owned subsidiary, NewAlliance Bank, a Connecticut bank, through the merger of FNFG Merger Sub, Inc., with and into New Alliance Bancshares, Inc., and for the subsequent merger of NewAlliance Bank with and into First Niagara Bank, N.A.

On November 10, 2010, George F. D’Angelo and John J. Fareri filed a community reinvestment plan that is available for public inspection and comment at the Department of Banking for a period of 30 days.  The filing was made in connection with an acquisition statement that was filed on October 15, 2010, pursuant to Section 36a-184 of the Connecticut General Statutes, to acquire, both individually and collectively, more than 25% of the outstanding voting securities of The First Bank of Greenwich, a Connecticut bank and trust company headquartered in Cos Cob, Connecticut.

On November 9, 2010, the Banking Commissioner issued an Order to Cease and Desist and Notice of Intent to Fine against ACAE, L.L.C., Michael George Sean Kondracki and Judy Bao-Shan Liu, all of 535 Hunting Ridge Road, Stamford, Connecticut.  Respondents Kondracki and Liu were the owners and managers of ACAE, L.L.C.  Respondents Kondracki and Liu were also the sole directors of Asset Consulting, Allocation and Evaluation Offshore Fund of Funds, Ltd., an entity based in the Cayman Islands.  In the same proceeding, the Commissioner issued a Notice of Intent to Revoke the registration of Michael Kondracki as an investment adviser agent of Fairport Advisors, Inc. under the Connecticut Uniform Securities Act.

The action alleged that Respondents rendered investment advice from Connecticut to the Cayman Islands fund and its investors at a time when ACAE, L.L.C. was not registered as an investment adviser under the Act and while Respondents Kondracki and Liu were not registered as investment adviser agents of ACAE, L.L.C. in Connecticut.  The action also alleged that respondents Kondracki and Liu failed to initially honor a redemption request by a widowed investor in the Cayman Islands fund, instead offering the investor alternative investments managed by Kondracki and Liu.  When the investment was ultimately redeemed, it purportedly was at a reduced rate and did not include earned interest that Respondents Kondracki and Liu retained, claiming that the investor had not asked them to return those monies.  The action also stated that no legitimate accounting of the Cayman Islands fund’s holdings and expenses had been provided to the investor.   The action alleged that Respondents’ conduct involved fraudulent, dishonest or unethical practices within the meaning of Section 36b-5 of the Act.

The Respondents were afforded an opportunity to request a hearing on the Order to Cease and Desist, Notice of Intent to Fine and Notice of Intent to Revoke Registration as Investment Adviser Agent.

On November 2, 2010, the Commissioner entered into a Settlement Agreement with Barry Fredric Schechtman (“Schechtman”).  The Settlement Agreement was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that Schechtman, during the period of January 1, 2009 through the present, acted as a mortgage loan originator without the required license, in violation of Section 36a-486(b) of the 2010 Supplement to the General Statutes.  As part of the Settlement Agreement, Schechtman agreed to pay $4,000 as a civil penalty.

On November 2, 2010, the Commissioner entered into a Settlement Agreement with Shorepoint Mortgage, LLC d/b/a Shore Pointe Mortgage (“Shorepoint Mortgage”).  The Settlement Agreement was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged in a Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose 

Civil Penalty and Notice of Right to Hearing issued against Shorepoint Mortgage on June 7, 2010, that Shorepoint Mortgage:  (1) acted as a mortgage broker in Connecticut at or from two locations that were not licensed, in violation of Section 36a-486(a) of the 2008 Supplement to the General Statutes, as amended by Public Acts 07-156 and 08-176; (2) failed to comply with a Settlement Agreement that Shorepoint Mortgage had entered into with the Commissioner on January 10, 2007; and (3) employed or retained three individuals as originators or mortgage loan originators without registering or licensing them, in violation of Sections 36a-486(b) and 36a-511(b) of the then applicable Connecticut General Statutes.  As part of the Settlement Agreement, Shorepoint Mortgage agreed to pay $500 as investigative costs.

On November 2, 2010, 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 (“Notice”) In the Matter of:  Revenue Management Service, Inc. (“Respondent”).  The Notice alleged that Respondent acted as a consumer collection agency in Connecticut without the requisite license, in violation of Section 36a-801(a) of the 2010 Supplement to the General Statutes, and failed to cooperate with an investigation of the Commissioner into Respondent’s activities, in violation of Section 36a-17(d) of the Connecticut General Statutes, which violations form the basis to issue an order to cease and desist pursuant to Sections 36a 804(b) and 36a-52(a) of the Connecticut General Statutes, and to impose a civil penalty against Respondent pursuant to Sections 36a-804(b) and 36a-50(a) of the Connecticut General Statutes.  Respondent was afforded an opportunity to request a hearing with regard to the allegations set forth in the Notice.

On November 2, 2010, 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 (“Notice”) In the Matter of:  Une Travel, LLC (“Respondent”).  The Notice alleged that Respondent engaged in the business of cashing checks, drafts and money orders for consideration without licensure for a general facility or limited facility and continued to engage in such unlicensed activity after stating to the Commissioner that it had ceased such unlicensed activity, in violation of Section 36a-581(a) of the 2010 Supplement to the General Statutes, which violations form the basis to issue an order to cease and desist pursuant to Sections 36a 587(b) and 36a-52(a) of the Connecticut General Statutes, and to impose a civil penalty against Respondent pursuant to Sections 36a-587(b) and 36a-50(a) of the Connecticut General Statutes.  Respondent was afforded an opportunity to request a hearing with regard to the allegations set forth in the Notice.