DOB: News Bulletin 2283 - November 23, 2007

The Department of Banking News Bulletin 

Bulletin # 2283
Week Ending November 23, 2007

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.



NEW BANK ACTIVITY

On November 21, 2007, pursuant to Section 36a-70(i) of the Connecticut General Statutes, Higher One Bank (In Organization) received approval for an extension of the period of its Temporary Certificate of Authority from November 30, 2007 to May 31, 2008.

CONSUMER CREDIT DIVISION ACTIVITY
Order of Summary Suspension, Temporary Order to Cease and Desist,
 Notice of Intent to Issue Order to Cease and Desist,
Notice of Intent to Refuse to Renew Consumer Collection Agency License,
 Notice of Intent to Impose Civil Penalty and
Notice of Right to Hearing Issued
 
On November 16, 2007, the Commissioner issued an Order of Summary Suspension, Temporary Order to Cease and Desist, Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Refuse to Renew Consumer Collection Agency License, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing (“Notice”), In the Matter of: Accelerated Collection Systems, Inc. (“Respondent”), of 182 Grand Street, Suite 320, Waterbury, Connecticut.  The Commissioner found that the public safety and welfare require emergency action with respect to Respondent’s license.  Pursuant to Sections 36a-804(a) and 36a-51 of the Connecticut General Statutes (“CGS”), as amended, and Section 4-182(c) of the CGS, the Commissioner Ordered that Respondent’s consumer collection agency license in Connecticut be Summarily Suspended pending proceedings for refusal to renew the license.  Pursuant to Section 36a-52(b) of the CGS, the Commissioner ordered that Respondent immediately cease and desist from further violations of Sections 36a-17(d) and 36a-805 of the CGS and Section 36a-809-1 of the Regulations of Connecticut State Agencies.  In addition, pursuant to Sections 36a-51(a) and 36a-52(b) of the CGS, the Commissioner ordered Respondent to take eight specific actions, which are set forth in the Notice.  The Notice provides that the Commissioner intends to: 1) issue an order requiring Respondent to cease and desist from violating Sections 36a-17 and 36a-805 of the CGS and Section 36a-809-1 of the Regulations of Connecticut State Agencies; 2) refuse to renew Respondent’s consumer collection agency license in Connecticut; and 3) impose a civil penalty upon Respondent in an amount not to exceed $300,000.  Respondent was afforded an opportunity to request a hearing with regard to the allegations set forth in the Notice.  A copy of the notice can be obtained from the department's website, www.ct.gov/dob, or by contacting the department's Legal Division.  
 

       Dated:  Tuesday, November 27, 2007
 
       Howard F. Pitkin
       Banking Commissioner