DOB: News Bulletin 1951 - July 13, 2001

The Department of Banking News Bulletin 

Bulletin # 1951
Week Ending July 13, 2001

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 John P. Burke, Commissioner of Banking, at the Connecticut Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800 or via E-mail to john.burke@ct.gov. Written comments will be considered only if they are received within ten days from the date of this bulletin.


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ACQUISITION

On June 6, 2001, pursuant to Section 36a-184 of the Connecticut General Statutes, Southern Connecticut Bancorp, Inc., a Connecticut corporation, filed an acquisition statement for the acquisition of 100 percent of the voting securities of The Bank of Southern Connecticut, a Connecticut bank (in organization). In connection with the application, on July 11, 2001, The Bank of Southern Connecticut filed a community reinvestment plan, which is available for public inspection and comment at the Department of Banking for a period of 30 days.

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
New York Firm Ordered to Cease and Desist from Regulatory Violations;
Notice of Intent to Fine Issued

On July 9, 2001, the Commissioner entered an Order to Cease and Desist and Notice of Intent to Fine against Drexel Aqua Technologies, Inc. of 47 Florida Street, Farmingdale, New York. The action alleged that, from at least March 1999 forward, the respondent sold shares of its unregistered non-exempt common stock through at least one unregistered agent of issuer in violation of Sections 36b-16 and 36b-6(b) of the Connecticut Uniform Securities Act.

The respondent was afforded an opportunity to request a hearing on the Order to Cease and Desist. A hearing on the Notice of Intent to Fine has been scheduled for September 5, 2001.

Meriden Man Barred for 5 Years From
Securities-Related Activity; Fined $500

On July 9, 2001, the Commissioner issued a Consent Order with respect to Arthur L. Bisson of Meriden, Connecticut. Bisson had been the subject of an April 20, 2001 Order to Cease and Desist and Notice of Intent to Fine alleging that from at least February 1997, the respondent sold unregistered non-exempt promissory notes and preferred stock to Connecticut investors in violation of Section 36b-16 of the Connecticut Uniform Securities Act. The promissory notes had been issued by World Vision Entertainment, Inc., Lifeblood Biomedical, Inc., Canko Environmental Technologies, Inc., Redbank Petroleum, Inc., Tri-National Development Corp., ALumaLex, Inc. and Technical Support Services, Inc. The preferred stock had been issued by Palm Beach Investment Group. The April 20, 2001 action had also alleged that, in selling the securities, the respondent transacted business as an unregistered agent of issuer in violation of Section 36b-6(a) of the Connecticut Uniform Securities Act.

The Consent Order barred Bisson for five years from acting as a broker-dealer agent, investment adviser agent or investment adviser in Connecticut. In addition, the Consent Order, acknowledging the respondent's demonstrated inability to pay the maximum fine sought, fined Bisson $500. The Consent Order also rendered the April 20, 2001 Order to Cease and Desist permanent as of July 9, 2001.

CREDIT UNION DIVISION ACTIVITY
Name Change

On July 9, 2001, pursuant to the provisions of Section 36a-437 of the Connecticut General Statutes, approval was granted to CenConn Healthcare Credit Union, Inc., Meriden, Connecticut, to amend its bylaws and certificate of organization to change its name to CenConn Credit Union, Inc.

CONSUMER CREDIT DIVISION ACTIVITY
Findings of Fact, Conclusion of Law and Order

On June 27, 2001, the Commissioner issued Findings of Fact, Conclusion of Law and an Order revoking the First Mortgage Lender/Broker License and Secondary Mortgage Lender/Broker License held by Diversified Mortgage Company, Inc. d/b/a DiverseAmerica Mortgage Company, Inc., 4372 Post Road, East Greenwich, Rhode Island. The Commissioner's action was based on a finding that the entity failed to take corrective action on a loan that it made and provide a report to the Department of the corrective action taken.

Consent Order

On July 3, 2001, the Commissioner executed a Consent Order In The Matter of: Antvan Huribal d/b/a Intra Financial Network, a first mortgage broker licensee located at 501 Boston Post Road, Suite 1, Orange, Connecticut. The Consent Order directed the entity to pay a $500 civil penalty, for failing to maintain the surety bond required by Section 36a-492 of the Connecticut General Statutes.

Dated: Tuesday, July 17, 2001

John P. Burke
Banking Commissioner