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.
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Connecticut registered broker-dealer Assessed $1,500
For Employing an Unregistered Agent
On March 6, 2009, the Commissioner entered into a Stipulation and Agreement with New Stream Securities, LLC, a Connecticut-registered broker-dealer located at 38C Grove Street, Ridgefield, Connecticut. The Stipulation and Agreement alleged that, from March 2005 forward, the firm employed an unregistered agent in contravention of Section 36b-6(a) of the Connecticut Uniform Securities Act. The firm represented to the Division that the agent, who subsequently became registered under the Act, serviced only institutional and accredited investors. Pursuant to the Stipulation and Agreement, New Stream Securities, LLC agreed to pay $1,500 to the department. Of that amount, $1,000 constituted an administrative fine and $500 represented reimbursement for past due agent registration fees as well as the costs associated with the Division’s investigation of the matter. The Stipulation and Agreement also required that the firm comply with all statutory requirements governing the registration of affected personnel as broker-dealer agents and implement such supervisory procedures as would be necessary to ensure such compliance.
Order Modifying June 3, 2008 Consent Order Entered
On March 6, 2009, the Commissioner entered an Order modifying a June 3, 2008 Consent Order against Jeffrey Alan Cohan, a registered broker-dealer agent. The June 3, 2008 Consent Order had alleged that Jeffrey Cohan violated Section 36b-16 of the Connecticut Uniform Securities Act and Section 36b-31-6e of the Regulations thereunder. Among other things, the June 3, 2008 Consent Order restricted Jeffrey Cohan's securities sales activities to investment company securities and exchange-listed securities for a three year period.
The March 6, 2009 Order modified the three year activity restriction to permit Jeffrey Cohan, in his capacity as a registered broker-dealer agent, to effect transactions in the securities of issuers comprising the Financial Times Stock Exchange (“FTSE”) 100 Index.
In modifying the earlier Consent Order, the Commissioner noted that Cohan had not been the subject of any regulatory actions, complaints or arbitrations reported since the entry of the Consent Order.