The Department of Banking News Bulletin
Bulletin # 2198
Week Ending April 7, 2006
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, Banking Commissioner, at the Connecticut Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800 or via E-mail to firstname.lastname@example.org. 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 Financial Institutions Division, (860) 240-8180.
* 270 Amity Road
Woodbridge, CT 06525
First County Bank
FROM: 19 Corbin Drive
Darien, CT 06820
TO: 1006 Post Road
Darien, CT 06820
|* Limited Branch|
CONSUMER CREDIT DIVISION ACTIVITY
On April 5, 2006, the Commissioner entered into a Settlement Agreement with Total Mortgage Services, LLC (“TMS”) located at 326 West Main Street, Suite 105, Milford, Connecticut. The Settlement Agreement was based on an investigation by the Consumer Credit Division. As a result of such investigation the Commissioner alleged that TMS operated first and secondary mortgage lender/broker offices at 1331 Silas Deane Highway, Wethersfield, Connecticut and 56 Wall Street, Madison, Connecticut, without the required licenses. Pursuant to the Settlement Agreement, TMS agreed not to engage in the business of making first or secondary mortgage loans or act as a first or secondary mortgage broker in Connecticut without the required license for each location where it conducts business. In addition, TMS agreed to remit to the Department of Banking $9,000 as a civil penalty.
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
$3,700 Fine, Suspensions Imposed Following Alleged
Private Securities Transactions in Shares of NewAlliance Bancshares, Inc.
On April 7, 2006, the Commissioner entered a Consent Order with respect to Donald Chapman Pratt, an applicant for registration as an investment adviser agent of Harvest Capital Advisers, LLC and as a broker-dealer agent of Harvest Capital, LLC. The Consent Order alleged that, from February 2004 to March 2004, while employed by ING Financial Partners, Inc., Pratt wilfully violated Section 36b-31-6e of the Regulations under the Connecticut Uniform Securities Act in conjunction with private securities transactions in shares of NewAlliance Bancshares, Inc. Although the Consent Order permitted Pratt to become registered as an investment adviser agent and a broker-dealer agent effective April 7, 2006, the Consent Order then suspended both registrations for ten days. In addition, the Consent Order mandated that Pratt pay a $3,700 fine to the department.
Notice of Intent to Deny Registration
as Agent and Investment Adviser Agent Issued
On April 6, 2006, the Commissioner issued a Notice of Intent to Deny the registration of Steven Hadley Haynes as a broker-dealer agent and investment adviser agent of Bannon, Ohanesian & Lecours, Inc. Although respondent Haynes had withdrawn his registration application, Connecticut law permits the Commissioner to initiate denial proceedings within one year following the withdrawal. The Notice of Intent to Deny alleged that, between September 2003 and March 2005, respondent Haynes engaged in a dishonest or unethical practice by improperly splitting commissions with one David Faubert and Faubert Financial Group, Inc. while respondent Haynes was employed by the brokerage firm of Tower Square Securities, Inc. The Notice of Intent to Deny also alleged that the respondent had been the subject of a November 2, 2005 NASD bar from association predicated on the respondent’s failure to appear for an on-the-record interview in connection with an NASD investigation. The respondent was afforded an opportunity to request a hearing on the Notice of Intent to Deny Registration as Agent and Investment Adviser Agent.
Dated: Tuesday, April 11, 2006
John P. Burke