Bulletin # 2663 - Week Ending March 6, 2015

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 Bruce H. Adams, Acting Banking Commissioner, Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800.  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

Consent Order

On February 25, 2015, the Commissioner entered into a Consent Order with Verizon Wireless Services, LLC (“Verizon ”), Basking Ridge, New Jersey.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that, during the period of March 1 to May 31, 2014, Verizon engaged in the business of a sales finance company in Connecticut without a license, in violation of Section 36a-536 of the Connecticut General Statutes.  As part of the Consent Order, Verizon paid $10,000 as a civil penalty.

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

On February 27, 2015, the Acting Commissioner issued a Temporary Order to Cease and Desist, Order to Make Restitution (“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 (collectively “Notice”) in the Matter of:  Michael R. Mazal, Esq. d/b/a Retention Law Center (“Respondent”), Irvine, California.  The Notice was the result of an investigation by the Consumer Credit Division.  The Acting Commissioner alleges that Respondent engaged in debt negotiation in this state without obtaining the required license, in violation of Section 36a-671(b) of the Connecticut General Statutes.  As part of the Order to Make Restitution, Respondent was ordered to repay fees to an identified Connecticut resident plus interest, and to repay to any other 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.  The Acting 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 allegations set forth in the Notice.

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY

Stipulation and Agreement

On March 2, 2015, the Banking Commissioner entered into a Stipulation and Agreement (No. ST-15-8178-S) with Carolina Financial Securities, LLC, a Connecticut-registered broker-dealer located in Brevard, North Carolina.  The Stipulation and Agreement alleged that the firm offered and sold unregistered securities in contravention of Section 36b-16 of the Connecticut Uniform Securities Act. Pursuant to the Stipulation and Agreement, the firm agreed to refrain from regulatory violations and to pay a $2,500 fine to the agency.

    Dated:  Tuesday, March 10, 2015


    Bruce H. Adams
    Acting Banking Commissioner