The Department of Banking News Bulletin
Bulletin # 2285
Week Ending December 7, 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.
INTEREST RATE TO BE PAID ON CLAIMS FOR PROPERTY, FUNDS OR MONEY
DELIVERED TO THE STATE TREASURER PURSUANT TO SECTION 3-57a(a)(1)
or (2), MORTGAGE ESCROW ACCOUNTS, PUBLIC SERVICE COMPANY,
CERTIFIED TELECOMMUNICATIONS PROVIDER AND ELECTRIC
SUPPLIER CUSTOMER SECURITY DEPOSITS AND TENANT SECURITY DEPOSITS
In accordance with Sections 3-70a(e), 16-262j(d), 47a-21(i)(2) and 49-2a(c) of the Connecticut General Statutes, the deposit index for calendar year 2008 is 0.94%. However, Sections 3-70a(e), 16-262j(c), 47a-21(i)(1) and 49-2a(a) provide that in no event shall the rate be less than 1.5%. Therefore, the interest rate to be paid on claims for property, funds or money delivered to the State Treasurer pursuant to Section 3-57a(a)(1) or (2), and mortgage escrow accounts, public service company, certified telecommunications provider and electric supplier customer security deposits and tenant security deposits is 1.5% for the period commencing January 1, 2008 and ending December 31, 2008.
CONSUMER CREDIT DIVISION ACTIVITY
Check Cashing Service License Activity
||Palacio Musical Agency, LLC
53 Liberty Street
Danbury, CT 06810
M&M Pawnshop & Check
38 Elm Street
West Haven, CT 06516
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Stipulation and Agreements
On November 21, 2007, the Commissioner entered into a Stipulation and Agreement with SMH Capital, Inc., a Connecticut-registered broker-dealer located at 600 Travis, Suite 3100, Houston, Texas. The Stipulation and Agreement alleged that at various times commencing in May, 2007, the firm employed four unregistered agents in contravention of Section 36b-6(a) of the Connecticut Uniform Securities Act. Pursuant to the Stipulation and Agreement, the firm agreed to remit $3,000 to the department. Of that amount, $2,000 constituted an administrative fine and $1,000 represented reimbursement for the agency’s examination costs. In addition, the firm agreed to comply with all statutory requirements governing the registration of affected personnel as broker-dealer agents and to review, revise and implement such supervisory and compliance procedures as would be necessary to ensure such compliance.
On December 5, 2007, the Commissioner entered into a Stipulation and Agreement with Andesa Strategies, Inc., an applicant for investment adviser registration located at 3435 Winchester Road, Suite 402, Allentown, Pennsylvania. The Stipulation and Agreement alleged that, from 2003 forward, the firm transacted business as an investment adviser in Connecticut while unregistered and employed unregistered investment adviser agents in contravention of Section 36b-6(c) of the Connecticut Uniform Securities Act. The investment advisory services rendered were to a Connecticut corporation and to designated employees of the corporation pursuant to a Service Agreement administered as an employee benefit. Andesa Strategies, Inc. had brought the unregistered activity to the agency’s attention. Pursuant to the Stipulation and Agreement, the firm agreed to pay $2,500 to the department. Of that amount, $1,500 constituted an administrative penalty and $1,000 represented reimbursement for past due registration fees. The firm also agreed to review, revise and implement such supervisory procedures as would be necessary to ensure regulatory compliance.
Andesa Strategies, Inc. became registered as an investment adviser in Connecticut on December 5, 2007.