Bulletin # 2678 - Week Ending June 19, 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 Jorge L. Perez, 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

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

On June 8, 2015, 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:  Evans Law Associates, P.C. (“Respondent”), Cheektowaga, New York.  The Notice was the result of an investigation by the Consumer Credit Division.  The Commissioner alleges that Respondent failed to maintain a surety bond that runs concurrently with the period of its consumer collection agency license for its office located at 3637 Union Road, Cheektowaga, 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.

Consent Order

On June 8, 2015, the Commissioner entered into a Consent Order with Carson Smithfield, LLC (“Carson Smithfield”), Woodbury, New York.  On or about February 11, 2015, Carson Smithfield self-reported that the response to a disclosure question contained in its application and renewal application for a consumer collection agency license was inaccurate.  As a result, the Commissioner alleged that Carson Smithfield made a material statement in its application and renewal application by responding “no” to the disclosure question with respect to regulatory orders when, in fact, an officer of Carson Smithfield had been the subject of a Consent Cease-and-Desist Order dated June 5, 1995, with the Office of Thrift Supervision, in violation of Section 36a-801(b)(1) of the then applicable Connecticut General Statutes.  As part of the Consent Order, Carson Smithfield paid $2,500 as a civil penalty.

Order to Cease and Desist and Order Imposing Civil Penalty

On June 9, 2015, the Commissioner issued an Order to Cease and Desist and Order Imposing Civil Penalty (“Order”) In the Matter of:  AmeriTrust Law Group LLC (“Respondent”), Washington, DC and Jacksonville, Florida.  The basis of the Order was 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.  Respondent was ordered to cease and desist from violating Section 36a-671(b) of the Connecticut General Statutes, and to pay a civil penalty in the amount of $100,000.  In addition, an Order of Restitution previously issued against Respondent on March 2, 2015, remains in effect and became permanent against Respondent March 21, 2015.

On June 9, 2015, the Commissioner issued an Order to Cease and Desist and Order Imposing Civil Penalty (“Order”) In the Matter of:  Home Loan Division (“Home Loan”), Santa Ana, California; Serrano Financial LLC d/b/a Default Servicing (“Default Servicing”), Costa Mesa and Newport Beach, California; and Kelvin Pickering (“Pickering”) (collectively “Respondents”).  The basis of the Order was that each 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.  Each Respondent was ordered to cease and desist from violating Section 36a-671(b) of the Connecticut General Statutes, and to pay a civil penalty in the amount of $100,000.  In addition, an Order of Restitution previously issued against Respondents on March 2, 2015, remains in effect and became permanent against Respondents on March 25, 2015.

   Dated:  Tuesday, June 23, 2015


    Jorge L. Perez
    Banking Commissioner