Bulletin # 2993 - Week Ending July 2, 2021

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 directed to Jorge L. Perez, Banking Commissioner.  Written comments will be considered only if they are received within ten business 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 limited branch at which loans will be made, address how the establishment of the branch will be consistent with safe and sound banking practices and promote the public convenience and advantage.  Plans are submitted when such applications are filed and are available for public inspection and comment at the Department for a period of 30 days. Questions concerning branch activity should be directed to the Financial Institutions Division, (860) 240-8180.

DATE:  July 1, 2021

BANK:  First County Bank, Stamford
LOCATION:  Academy for Information Technology and Engineering
       411 High Ridge Road, Stamford, CT 06905
ACTIVITY-BRANCH TYPE:  Filed Notice of Special Need Limited Branch Closing

DATE:  July 2, 2021
BANK:  Guilford Savings Bank, Guilford
LOCATION:  1409 Middletown Avenue, Northford, CT 06472
ACTIVITY-BRANCH TYPE:  Approved to Establish Full Service Branch

DATE:  July 2, 2021
BANK:  Fieldpoint Private Bank & Trust, Greenwich
LOCATION:  2020 Salzedo Street, Suite 300, Coral Gables, FL 33134
ACTIVITY-BRANCH TYPE:  Approved to Establish Full Service Branch

DATE:  July 2, 2021
BANK:  Fieldpoint Private Bank & Trust, Greenwich
LOCATION:  270 W. New England, Suite 268/272, Winter Park, FL 32789
ACTIVITY-BRANCH TYPE:  Approved to Establish Full Service Branch

CONSUMER CREDIT DIVISION ACTIVITY

Consent Order

On June 24, 2021, the Commissioner entered into a Consent Order with Gusto, Inc f/k/a ZenPayroll, Inc. d/b/a Gusto (NMLS # 1737896) (“Gusto”), San Francisco, California. The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that Gusto engaged in the business of money transmission in this state without the required license since at least 2013, in violation of Section 36a-597(a) of the Connecticut General Statutes.  As part of the Consent Order, Gusto paid $10,000 as a civil penalty and $3,750 for back licensing fees.

 

COMMISSIONER ISSUES ORDER

Order Establishing Requirements for Conducting Business From a Remote Office Location

On July 1, 2021, the Commissioner issued an Order Establishing Requirements for Conducting Business From a Remote Office Location (“Order”), which permits individuals engaged in licensable activity on behalf of certain consumer credit licensees to work from remote office locations pursuant to the recently enacted authority set forth in Section 205 of Senate Bill 1202 of the June Special Session of the Connecticut General Assembly, as amended by Senate Amendment A and House Amendments A, G and H.  This Order applies to individuals working on behalf of persons licensed as consumer collection agencies, debt adjusters, debt negotiators, mortgage brokers, mortgage correspondent lenders or mortgage lenders, mortgage servicers, sales finance companies, small loan companies and student loan servicers in Connecticut, and includes standards and requirements governing such remote office activities.

 

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY

Order Revoking and Canceling Registration as Broker-dealer

On July 1, 2021, the Banking Commissioner entered an Order Revoking and Canceling Registration as Broker-dealer (Docket No. NRC-21-20205-S) with respect to CV Brokerage, Inc., of 1521 East Malaga Road, Williamstown, New Jersey 08094.  The firm did not appear or contest the Commissioner's revocation and cancellation of its registration, and the order was entered by default.

The July 1, 2021 revocation and cancellation action had been preceded by a May 27, 2021, Notice of Intent to Revoke and Cancel Registration as a Broker-dealer and Notice of Right to Hearing, which allegations were deemed admitted as a result of the firm’s default.  The May 27, 2021 action had alleged that (1) on March 13, 2020, the Financial Industry Regulatory Authority (“FINRA”) expelled the firm from membership for failing to pay fines and/or costs; (2) the firm's broker-dealer registration had been terminated, canceled or revoked in approximately 32 jurisdictions other than Connecticut; (3) none of the firm's direct owners and executive officers were registered as agents of the firm in any jurisdiction; (4) the firm no longer had any agents registered under the Connecticut Uniform Securities Act; and (5) the firm failed to respond to multiple written communications from the Department concerning the agency's regulatory concerns.  The May 27, 2021 action had further alleged that the FINRA expulsion supported revoking the firm's broker-dealer registration under Section 36b-15 of the Connecticut Uniform Securities Act, and that the firm's apparent cessation of business supported the entry of an order canceling the firm's registration.

      Dated:  Wednesday, July 7, 2021