DOB: News Bulletin 2229 - November 10, 2006

The Department of Banking News Bulletin 

Bulletin # 2229
Week Ending November 10, 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 Howard F. Pitkin, Banking Commissioner, at the Connecticut Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800 or via E-mail. Written comments will be considered only if they are received within ten days from the date of this bulletin.



CREDIT UNION ACTIVITY
Merger

On October 30, 2006, pursuant to Section 36a-468a of the Connecticut General Statutes, the Connecticut Department of Banking received an application from West Hartford Credit Union, Inc., Simsbury, a Connecticut credit union, to merge with Vendors Mutual Benefit Association, West Hartford, a Connecticut credit union.  The resulting credit union will be Vendors Mutual Benefit Association.

CONSUMER CREDIT DIVISION ACTIVITY
Check Cashing Service License Activity

Date Check Casher Location Activity
11/09/06 Abul K. Azad d/b/a Sam’s Deli 
153 Highland Avenue 
Waterbury, CT  06708
approved
11/13/06
Gelt Enterprises, Inc.
 d/b/a United Check Cashing 
757 Wolcott Street
Waterbury, CT  06705
approved
   
Settlement Agreements

On October 11, 2006, the Commissioner entered into a Settlement Agreement with Anthony J. Ranciato D/B/A The Mortgage Store of Connecticut (“The Mortgage Store”).  The Settlement Agreement was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that The Mortgage Store employed or retained at least four originators without registering them, in violation of Sections 36a-486(b) and 36a-511(b) of the Connecticut General Statutes.  In addition, the Commissioner alleged that during the period of October 2004 through February 2006 The Mortgage Store held itself out as maintaining two office locations that were not true locations of The Money Store, in violation of Section 36a-53b of the 2006 Supplement to the Connecticut General Statutes.  Pursuant to the Settlement Agreement, The Mortgage Store agreed to remit to the Department of Banking $14,000 as a civil penalty. 

On October 12, 2006, the Commissioner entered into a Settlement Agreement with Anthony DiCaprio (“DiCaprio”).  The Settlement Agreement was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that DiCaprio employed or retained at least twelve originators without registering them, in violation of Sections 36a-486(b) and 36a-511(b) of the Connecticut General Statutes.  Pursuant to the Settlement Agreement, DiCaprio agreed to remit to the Department of Banking $12,000 as a civil penalty. 

On October 23, 2006, the Commissioner entered into a Settlement Agreement with First Choice Mortgage Service, LLC (“First Choice”).  The Settlement Agreement was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that First Choice employed or retained at least one originator without registering her, in violation of Sections 36a-486(b) and 36a-511(b) of the Connecticut General Statutes.  Pursuant to the Settlement Agreement, First Choice agreed to remit to the Department of Banking $1,000 as a civil penalty. 

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Amended and Restated Order to Cease and Desist
and Notice of Intent to Fine Issued

On November 6, 2006, the Commissioner issued an Amended and Restated Order to Cease and Desist and Notice of Intent to Fine against Terry Lee Feibus of 18429 Old Princton Lane, Boca Raton, Florida.  The Amended and Restated Order to Cease and Desist and Notice of Intent to Fine modified the Commissioner’s June 6, 2006 Order to Cease and Desist, Notice of Intent to Fine and Notice of Right to Hearing against respondent Feibus.  The amended action alleged that at various times in 2003, respondent Feibus sold unregistered securities of Deltagen Inc., GoAmerica Inc., Hop-On.com, Loudeye Technologies, Paradigm Med Inds, Peregrine Pharmaceuticals Inc., Predictive Systems Inc., Robotic Vision Systems Inc., Sagent Tech Inc., Skyway Communications, Tellium Inc. and Valicert Inc. (the “Unregistered Securities”) in violation of Section 36b-16 of the Connecticut Uniform Securities Act.  The amended action also alleged that respondent Feibus violated Section 36b-6 of the Act by transacting business as an unregistered agent in conjunction with sales and purchases of the Unregistered Securities as well as securities of 1st Investors Blue Chip FD-1, 1st Investors Growth & Inc.-A, 1st Investors Tot Return FD A, 1st Investors USA Midcap Opp A, Charter Communications CL A, Federated Growth Strategy FD-B, Federated Hi Inc. BD FD CL-B, Federated Kaufmann B, Lantronix Inc., Lucent Technologies Inc., Prosoft I-net Solutions Inc., Radview Software Ltd., Redback Networks Inc., Silicon Graphics Inc. (DE) and Transwitch Corp.  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 is pending.

       Dated:  Tuesday, November 14, 2006
 
       Howard F. Pitkin
       Banking Commissioner