Bulletin # 2558 - Week Ending March 1, 2013

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

STATE BANK ACTIVITY

Branch Activity

Section 36a-145 of the Connecticut General Statutes requires certain applications 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.

CONSUMER CREDIT DIVISION ACTIVITY

Notice of Automatic Suspension, Temporary Oder to Cease and Desist, Notice of Intent to Revoke Consumer Collection Agency License, Notice of Intent to Issue Order to Cease and Desist

On January 7, 2013, the Commissioner issued a Notice of Automatic Suspension, Temporary Order to Cease and Desist, Notice of Intent to Revoke Consumer Collection Agency License, Notice of Intent to Issue Order to Cease and Desist and Notice of Right to Hearing (“Notice”) in the Matter of:  Zenith Acquisition Corp. (“Respondent”), Amherst, New York.  The Notice was the result of an investigation by the Consumer Credit Division.  The Notice alleges that Respondent failed to maintain a surety bond during the entire period of its consumer collection agency license for 170 Northpointe Parkway, Suite 300, Amherst, New York, in violation of Section 36a-802(a) of the Connecticut General Statutes.  The Commissioner also found that public welfare required the issuance of a Temporary Order to Cease and Desist.  Respondent was afforded an opportunity to request a hearing with regard to the allegation set forth in the Notice.

Order Revoking Consumer Collection Agency License and Order to Cease and Desist

On January 18, 2013, the Commissioner issued an Order Revoking Consumer Collection Agency License and Order to Cease and Desist (“Order”) in the Matter of:  Wyse Financial Services, Inc. (“Respondent”), Denver, Colorado.  The Order was based on Respondent’s failure to maintain a surety bond that runs concurrently with the period of its consumer collection agency license for 3410 S. Galena Street, Suite 250, Denver, Colorado, in violation of Section 36a-802(a) of the Connecticut General Statutes.  The Order revokes Respondent’s license to act as a consumer collection agency in Connecticut from such location and orders Respondent to cease and desist from violating Section 36a-802(a) of the Connecticut General Statutes.

Notice of Intent to Revoke Check Cashing Service License, Notice of Intent to Issue Order to Cease and Desist and Notice of Intent to Impose Civil Penalty

On January 18, 2013, the Commissioner issued a Notice of Intent to Revoke Check Cashing Service License, 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:  Pups Financial Corporation d/b/a Checking (“Respondent”), New Haven, Connecticut.  The Notice was the result of an investigation by the Consumer Credit Division.  The Notice alleges that Respondent failed to timely provide the Commissioner with a detailed report of the corrective action taken as a result of an October 4, 2011, Report of Examination, which (1) renders the Commissioner unable to determine that Respondent is in all respects properly qualified and of good character and that granting such license would be in the public interest; (2) causes Respondent to demonstrate incompetency or untrustworthiness to operate as a licensed check cashing service; and (3) constitutes a failure of Respondent to fully cooperate with the Commissioner, in violation of Section 36a-17(d) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96.  Respondent was afforded an opportunity to request a hearing with regard to the allegation set forth in the Notice.

Consent Orders

On January 9, 2013, the Commissioner entered into a Consent Order with American Honda Finance Corporation d/b/a Honda Financial Services d/b/a Acura Financial Services (“AHFC”), Torrance, California.  The Consent Order was based on an examination by the Consumer Credit Division.  As a result of such examination, the Commissioner alleged that from October 1, 2005 to June 6, 2011, AHFC engaged in the business of a sales finance company in Connecticut from two locations without a license, in violation of Section 36a-536 of the Connecticut General Statutes.  As part of the Consent Order, AHFC paid $22,400 of which $20,000 constituted a civil penalty and $2,400 represented past due licensing fees.

On January 16, 2013, the Commissioner entered into a Consent Order with Charter Oak Lending Group, LLC (NMLS # 7748) (“Charter Oak”), Bethel, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that Charter Oak failed to file certain annual information required by standard mortgage call reports, in violation of Section 36a-534b(c)(3) of the 2012 Supplement to the General Statutes and/or Section 36a-534b(c)(3) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96.  As part of the Consent Order, Charter Oak paid $2,500 as a civil penalty.

On January 18, 2013, the Commissioner entered into a Consent Order with Alfano Wealth Advisors, LLC (NMLS # 93435) (“Alfano”), Old Greenwich, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that Alfano failed to timely file certain annual information required by standard mortgage call reports, in violation of Sections 36a-534b(c)(3) of the 2012 Supplement to the General Statutes and/or 36a-534b(c)(3) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96.  Among other things, the Consent Order recognized that Alfano’s mortgage broker license had since expired and provided that Alfano shall not be eligible to reapply for licensure as a mortgage lender, mortgage correspondent lender or mortgage broker before June 30, 2013.

On January 18, 2013, the Commissioner entered into a Consent Order with Parks, Randy E. and Fishman, David d/b/a Homeowners Finance Co. (NMLS # 77271) (“Homeowners Finance”), Wethersfield, Connecticut.  The Consent Order was based on an examination and investigation by the Consumer Credit Division.  As a result of such examination and investigation, the Commissioner alleged that Homeowners Finance failed to file certain quarterly and annual information required by mortgage call reports in violation of Sections 36a-534b(c)(3) of the 2012 Supplement to the General Statutes and/or Section 36a-534b(c)(3) of the 2012 Supplement to the General Statutes, as amended by Public Act 12-96.  Among other things, the Consent Order recognized that the mortgage lender license of Homeowner’s Finance had since expired and provided that Homeowner’s Finance shall not be eligible to reapply for licensure as a mortgage lender, mortgage correspondent lender or mortgage broker before June 30, 2013.

On January 29, 2013, the Commissioner entered into a Consent Order with Creative Media Consulting, Inc. d/b/a Debt Resolution Bailout / Plan B Consulting Group / Creative Media Consulting Inc. (“Creative Media Consulting”), American Fork, Utah.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on August 10, 2012, in a Temporary Order to Cease and Desist, Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing, the Commissioner alleged that Creative Media Consulting, among others, engaged in debt negotiation in this state without obtaining the required license, in violation of Section 36a-671(b) of the Connecticut General Statutes, in effect prior to October 1, 2011.  In the Consent Order, Creative Media Consulting represented that it refunded monies to a Connecticut resident and Creative Media Consulting was ordered to immediately cease and desist from engaging or offering to engage in unlicensed debt negotiation activity in Connecticut in violation of Section 36a-671(b) of the 2012 Supplement to the General Statutes.

Order to Make Restitution, Notice of Intent to Issue Order to Cease and Desist and Notice of Intent to Impose Civil Penalty

On January 31, 2013, the Commissioner issued an Order to Make Restitution, Notice of Intent to Issue Order to Cease and Desist, Order of Intent to Impose Civil Penalty and Notice of Right to Hearing (“Order & Notice”) In the Matter of:  Home Law Center, LLC (“Respondent”), Pompano Beach, Florida.  The Order & Notice was the result of an investigation by the Consumer Credit Division.  The Order & Notice alleges that Respondent offered to engage in debt negotiation in this state without obtaining the required license, in violation of Section 36a-671(b) of the Connecticut General Statutes in effect prior to October 1, 2011, and Section 36a-671(b) of the 2012 Supplement to the General Statutes, and engaged in debt negotiation in this state without obtaining the required license, in violation of Section 36a-671(b) of the 2012 Supplement to the General Statutes.  Respondent was ordered, among other things, to repay each Connecticut resident who entered into an agreement for debt negotiation services with Respondent on and after October 1, 2009, any fees paid by such Connecticut resident to Respondent, plus interest.  Respondent was afforded an opportunity to request a hearing with regard to the allegations set forth in the Notice.

Temporary Order to Cease and Desist, Order to Make Restitution, Notice of Intent to Issue Order to Cease and Desist and Notice of Intent to Impose Civil Penalty

On February 1, 2013, the Commissioner issued a Temporary Order to Cease and Desist, Order to Make Restitution, 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:  Sameer Qadri d/b/a Accredited Law Group (“Respondent”), Irvine, Newport Beach, Santa Ana and Costa Mesa, California, and Las Vegas, Nevada.  The Notice was the result of an investigation by the Consumer Credit Division.  The Notice alleges that Respondent engaged in debt negotiation in this state without obtaining the required license, in violation of Section 36a-671(b) of the 2012 Supplement to the General Statutes.  As part of the Order to Make Restitution, Respondent was ordered to provide repayment of $3,950 to identified Connecticut residents plus interest, and to repay any other Connecticut residents who entered into an agreement for debt negotiation services with Respondent on and after October 1, 2009, any fees paid by such Connecticut residents to Respondent plus interest.   The Commissioner also found that public welfare required the issuance of a Temporary Order to Cease and Desist against Respondent.  Respondent was afforded an opportunity to request a hearing with regard to the allegation set forth in the Notice.

Dated:  Tuesday, March 5, 2013