The Department of Banking News Bulletin
Bulletin # 2203
Week Ending May 12, 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 email@example.com. Written comments will be considered only if they are received within ten days from the date of this bulletin.
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Florida Company Fined $10,000 for Unregistered Business Opportunity
Sales; Cease and Desist Order Made Permanent
On December 29, 2005, the Commissioner entered an Order rendering permanent a July 13, 2005 Order to Cease and Desist against Cambridge Coffee Company under the Connecticut Business Opportunity Investment Act. The company maintains its principal office at 1714 Avenida Del Sol, Boca Raton, Florida. The Order to Cease and Desist and accompanying Notice of Intent to Fine had alleged that, from at least February 6, 2005 forward, the respondent offered unregistered coffee distributorship business opportunities in violation of the stateís business opportunity statute. Also on December 29, 2005, the Commissioner ordered that the respondent be fined $10,000 based on the respondentís sale of unregistered business opportunities. Cambridge Coffee Company did not contest the Order to Cease and Desist or the imposition of the fine.
Investment Adviser Applicant Assessed $1,700 in
Connection With Unregistered Investment Advisory Activity
Involving Family Investment Fund
On May 12, 2006, the Commissioner entered into a Stipulation and Agreement with Anthem Asset Management, LLC, an applicant for investment adviser registration having its principal office at 1720 Post Road, P.O. Box 5113, Westport, Connecticut. The Stipulation and Agreement alleged that from approximately September 2004 forward, the firm 1) transacted business as an investment adviser to Anthem Opportunity Fund, L.P. while not registered as an investment adviser and 2) employed an unregistered investment adviser agent in contravention of Section 36b-6(c) of the Connecticut Uniform Securities Act. The limited partners of Anthem Opportunity Fund, L.P. consisted of two individuals having a familial relationship to the sole manager of Anthem Asset Management, LLC. Pursuant to the Stipulation and Agreement, the firm agreed to pay $1,700 to the department. Of that amount, $1,500 constituted an administrative fine and $200 represented past due investment adviser and investment adviser agent registration fees. In addition, the firm agreed to 1) review, revise and implement supervisory procedures necessary to ensure compliance with statutory licensing requirements; and 2) employ legal counsel in connection with future offerings of securities of Anthem Opportunity Fund, L.P. or any other fund for which Anthem Asset Management, LLC served as investment adviser.
Dated: Tuesday, May 16, 2006
John P. Burke