The Department of Banking News Bulletin
Bulletin # 2837
Bulletin # 2837
Week Ending July 6, 2018
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
Merger and Acquisition
On July 6, 2018, People’s United Financial, Inc., a Delaware corporation and bank holding company, and its wholly-owned subsidiary, People’s United Bank, N.A., a national bank headquartered in Bridgeport, Connecticut, filed an acquisition statement pursuant to Sections 36a-184 and 36a-185 of the Connecticut General Statutes for the acquisition of First Connecticut Bancorp, Inc., a Maryland corporation and bank holding company, and, indirectly, Farmington Bank, a Connecticut-chartered bank and wholly-owned subsidiary of First Connecticut Bancorp, Inc. The acquisition of Farmington Bank will take place through the merger of Farmington Bank with and into People’s United Bank, N.A. On July 2, 2018, Farmington Bank filed notice of this proposed merger pursuant to Section 36a-126(b) of the Connecticut General Statutes.
CREDIT UNION ACTIVITY
Branch Activity
DATE: August 1, 2018
CREDIT UNION: Sikorsky Financial Credit Union, Inc., Stratford
LOCATION: 3 Federal Road, Brookfield, CT 06804
ACTIVITY-BRANCH TYPE: Opening Date - Full Service Branch
LOCATION: 3 Federal Road, Brookfield, CT 06804
ACTIVITY-BRANCH TYPE: Opening Date - Full Service Branch
CONSUMER CREDIT DIVISION ACTIVITY
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
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 June 25, 2018, the 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: Homestead Financial Services, LLC (“Homestead”), Los Angeles, California, and Dana Fabian (“Fabian”) (collectively, “Respondents”). The Notice was the result of an investigation by the Consumer Credit Division. The Commissioner alleges that the Respondents engaged or offered to engage in debt negotiation in Connecticut 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, Respondents were ordered to repay fees to identified Connecticut debtors plus interest, and repay to any other Connecticut debtor who entered into an agreement for debt negotiation services with Respondent on or after October 1, 2009, any fees paid by such Connecticut debtor to Respondents plus interest. The Commissioner also found that public welfare required the issuance of a Temporary Order to Cease and Desist against Respondents. Respondents were afforded an opportunity to request a hearing with regard to the allegations set forth in the Notice.
Order to Provide Disgorgement, Notice of Intent to Issue Order to
Cease and Desist, Notice of Intent to Impose Civil Penalty
Cease and Desist, Notice of Intent to Impose Civil Penalty
On June 25, 2018, the Commissioner issued an Order to Provide Disgorgement, Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing in the Matter of: GMA Investments, LLC d/b/a Summit Receivables, NMLS# 1217898, Henderson, Nevada (“Respondent”). The Notice was the result of an investigation by the Consumer Credit Division. The Commissioner alleges that the Respondent acted as a consumer collection agency in Connecticut without the required license, in violation of Section 36a-801(a) of the Connecticut General Statutes, received payments on at least one small loan made by a person who had not obtained a small loan license in violation of Section 36a-556(a) of the Connecticut General Statutes in effect on and after July 1, 2016, collected and received payments on at least one small loan made by a person who had not obtained a small loan license, in violation of Section 36a-573(c) of the Connecticut General Statutes effective June 19, 2015, and filed a spreadsheet with the Commissioner that failed to identify all Connecticut accounts which Respondent had collected on in the past 24 months in violation of Section 36a-53a of the Connecticut General Statutes. As part of the Order to Provide Disgorgement, Respondent was ordered to disgorge to Connecticut consumers all fees received as result of collecting or receiving monies as payment for others since October 1, 2015 on any account, bill or other indebtedness of a Connecticut consumer debtor. 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
Ralph Upton Scott (CRD No. 128237) – Stipulation and Agreement Entered
On July 5, 2018, the Banking Commissioner entered into a Stipulation and Agreement (No. ST-18-8428-S) with Ralph Upton Scott, a Connecticut-registered investment adviser having his principal office at 271 Sylvan Knoll Road, Stamford, Connecticut 06902. The Stipulation and Agreement alleged that Scott failed to comply with certain recordkeeping requirements in Section 36b-14(a)(1) of the Connecticut Uniform Securities Act. In resolution of the matter, Scott agreed to refrain from violative conduct and to pay a $2,500 fine.