DOB: News Bulletin 1992 - April 26, 2002

The Department of Banking News Bulletin

Bulletin # 1992
Week Ending April 26, 2002

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.


BRANCH ACTIVITY
State Bank Activity

Section 36a-145 of the Connecticut General Statutes requires that each application 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 Bank Examination Division, (860) 240-8180.
Note: dates are listed in month/day/year format.

Date Bank Location Activity
4/23/02 The Bank of Southern Connecticut
New Haven
445 West Main Street
Branford, CT 06405
approved

In Department of Banking Bulletin # 1906, for the week ending September 1, 2000, notice was provided of the approval of the establishment of a limited branch of First International Bank in Geza, Egypt. On April 26, 2002, First International Bank notified the Commissioner that it would not establish the proposed limited branch.

NEW BANK ACTIVITY

On April 22, 2002, pursuant to Section 36a-70 of the Connecticut General Statutes, as amended by Public Act 01-183, a Final Certificate of Authority was issued to The Bank of New Canaan, 156 Cherry Street, New Canaan, Connecticut. The bank opened for business on April 22, 2002.

CHECK CASHING SERVICE LICENSE ACTIVITY

On April 25, 2002, pursuant to Section 36a-581 of the Connecticut General Statutes, Connecticut State Check Cashing Services, Inc. received approval to relocate its check cashing service general facility from 867 New Britain Avenue, Hartford, Connecticut to 876 New Britain Avenue, Hartford, Connecticut.

On April 26, 2002, pursuant to Section 36a-581 of the Connecticut General Statutes, Pro-Check Cashing, LLC filed an application to operate a check cashing service general facility at 273 West Main Street, Meriden, Connecticut.

FOREIGN BANK ACTIVITY

On April 24, 2002, Fortis Bank S.A./N.V., a public company with limited liability under Belgian law, filed an application pursuant to Section 36a-428a of the Connecticut General Statutes, to establish and maintain a state branch at 3 Stamford Plaza, 301 Tresser Boulevard, Stamford, Connecticut.

SECURITIES AND BUSINESS INVESTMENTS DIVISION
Riverside Firm Assessed $2,500 for
Unregistered Investment Advisory Activity

On April 22, 2002, the Commissioner entered into a Stipulation and Agreement with M.I.T. Asset Management, Inc. of 1171 East Putnam Avenue, Riverside, Connecticut. The Stipulation and Agreement alleged that from December 31, 1997 to December 31, 2001, the firm transacted business as an investment adviser absent registration under Section 36b-6(c) of the Connecticut Uniform Securities Act. In entering into the Stipulation and Agreement, the Commissioner acknowledged the firm's written representation that the firm's clients had been limited to four offshore private investment funds whose investments had since been liquidated and returned, and that the firm at no time provided securities-related investment advice to Connecticut residents.

Pursuant to the Stipulation and Agreement, M.I.T. Asset Management, Inc. agreed to review, revise and implement supervisory procedures needed to ensure compliance with state investment adviser registration and notice filing requirements. In addition, the Stipulation and Agreement required that the firm pay $2,500 to the department. Of that amount, $800 constituted an administrative fine, $700 represented reimbursement for past due registration filing fees and $1,000 constituted reimbursement for agency investigative costs.

Investment Adviser Assessed $2,100 for Delinquent Notice Filing

On April 22, 2002, the Commissioner entered into a Stipulation and Agreement with Cornerstone Real Estate Advisers, Inc. of One Financial Plaza, Suite 1700, Hartford, Connecticut. The firm is an investment adviser registered with the Securities and Exchange Commission.

The Stipulation and Agreement claimed that from 1997 until January 28, 2002, when a notice was filed, the firm failed to make the investment advisory notice filing required by Section 36b-6(e) of the Connecticut Uniform Securities Act and pay the related fees. In entering into the Stipulation and Agreement, the Commissioner acknowledged the firm's representations that it had relied upon outside legal counsel in not making the required filings, that its business was exclusively institutional in nature and that it had not been aware of 1997 changes in state law requiring that a notice be filed and a fee remitted. The Stipulation and Agreement required that the firm pay $2,100 to the department. Of that amount $1,500 constituted an administrative fine and $600 constituted reimbursement for past due notice filing fees.

CONSUMER CREDIT DIVISION ACTIVITY
Administrative Order

On April 24, 2002, the Commissioner issued an Order Withdrawing Notice of Intent to Issue Order to Cease and Desist and Notice of Right to Hearing, issued December 20, 2001, against AAA Financial Corp., d/b/a AAA Financial Corporation, d/b/a Debt Eliminator, d/b/a Mortgage Savings Program, d/b/a Save! America!, d/b/a Mortgage Processing Dept., located at 9601 West Sample Road, Coral Springs, Florida, and an Order Withdrawing Notification of Hearing and Designation of Hearing Officer, issued on January 18, 2002 ("Withdrawal''). The Withdrawal was based on the Commissioner's determination that the biweekly mortgage payment program administered by Respondent constitutes engaging in the business of "money transmission" within the meaning of Part V of Chapter 668, Sections 36a-595 to 36a-610, inclusive, of the Connecticut General Statutes, and Respondent applied for, and on April 9, 2002, was issued a license to engage in the business of money transmission.

Dated: Tuesday, April 30, 2002

John P. Burke
Commissioner