DOB: News Bulletin 2050 - June 6, 2003

The Department of Banking News Bulletin

Bulletin # 2050
Week Ending June 6, 2003

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 Written comments will be considered only if they are received within ten days from the date of this bulletin.

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) 240-8183.
Note: dates are listed in month/day/year format.

Date Bank Location Activity
06/02/2003 People's Bank
FROM:  962 Farmington Avenue
             West Hartford, CT   06107
TO:       1013 Farmington Avenue
             West Hartford, CT   06107
approved to


On June 2, 2003, pursuant to Section 36a-581 of the Connecticut General Statutes, Connecticut Finance Corp. received approval to operate a check cashing service general facility at 522 Boston Avenue, Bridgeport, Connecticut.

On June 2, 2003, pursuant to Section 36a-581 of the Connecticut General Statutes, P & D Financial, Inc. received approval to operate a check cashing service general facility at 689 Foxon Road, East Haven, Connecticut.


On May 29, 2003, pursuant to Sections 36a-412(a)(2) and 36a-145(c)(1) of the Connecticut General Statutes, U.S. Bank Trust National Association, a national banking association with its main office in Wilmington, Delaware, filed an application to establish a de novo limited branch at 225 Asylum Street, 23rd Floor, Hartford, Connecticut to engage solely in trust services.

Name Change

On May 22, 2003, pursuant to Section 36a-437a of the Connecticut General Statutes, Southern New England Financial Credit Union, Inc., New Haven, requested approval to amend its bylaws and certificate of incorporation to change its name to Connex Credit Union, Inc.

Chicago Firm Fined $5,000 for Unregistered Agent Activity

On June 2, 2003, the Commissioner entered a Consent Order with respect to optionsXpress, Inc., a Connecticut-registered broker-dealer having its principal office at 39 South LaSalle Street, Suite 220, Chicago, Illinois. The Consent Order alleged that optionsXpress, Inc. had employed Ronald C. Galvin as an agent at a time when Galvin was not registered as such under the Connecticut Uniform Securities Act, and that the firm had failed to establish, enforce and maintain an adequate supervisory system. Ronald C. Galvin is no longer associated with the firm.

The Consent Order fined the firm $5,000 and required that it provide the department with quarterly reports for two years concerning any securities-related complaints, actions or proceedings involving Connecticut residents. The Consent Order also required that the firm reimburse the agency up to $2,500 for the cost of one or more examinations to be conducted by the department within 24 months.

Branford Man Assessed $1,000 for Borrowing Money From
Securities Brokerage Clients Without Notice to Employing Firm

On June 2, 2003, the Commissioner entered a Consent Order with respect to William P. Fauzio of Branford, Connecticut. The Consent Order alleged that, between August 1995 and June 1997, while associated with the securities brokerage firm of Royal Alliance Associates, Inc., William Fauzio borrowed money from securities brokerage clients without notice to his employing broker- dealer. If proven, such conduct would constitute a dishonest or unethical business practice under Section 36b-31-15b(a)(1) of the Connecticut Uniform Securities Act Regulations. William Fauzio represented in writing to the Commissioner that all of the clients from whom he had borrowed money had consented to the loans; that he had repaid each of the lenders; and that there were no related claims against him outstanding.

The Consent Order prohibited William Fauzio from borrowing monies from clients absent notice to any broker-dealer with whom he became associated in the future. In addition, the Consent Order mandated that William Fauzio provide a copy of the Consent Order to any future employing broker-dealer, abide by any special supervisory requirements that broker-dealer imposed; and remit $1,000 to the department as reimbursement for agency investigative costs.

Dated: Tuesday, June 10, 2003

John P. Burke