DOB: News Bulletin 2367 - July 3, 2009

The Department of Banking News Bulletin 

Bulletin # 2367
Week Ending July 3, 2009

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.


 
BRANCH ACTIVITY
State Bank Activity
 
Section 36a-145 of the Connecticut General Statutes requires certain applications for a branch, or for a limited branch at which loans will be made, be accompanied by a plan detailing how adequate services to meet the banking needs of all community residents will be provided.  Plans are submitted when such applications are filed and are available for public inspection and comment at this Department for a period of 30 days.  Questions concerning branch activity should be directed to the Financial Institutions Division, (860) 240-8180.

 

Date Bank Location Activity
7/31/09
New Alliance Bank
New Haven
*1071 Post Road East
  Westport, CT  06880
closing
date
7/31/09
New Alliance Bank
New Haven
*550 Summer Street
  Stamford, CT  06901
closing
date
7/31/09 New Alliance Bank
New Haven
*83 New Canaan Avenue
  Norwalk, CT  06850
closing
date
7/31/09
New Alliance Bank
New Haven
*213 East Putnam Avenue
  Cos Cob, CT  06807
closing
date
*Mobile branch

CONSUMER CREDIT DIVISION ACTIVITY
Notice of Intent to Revoke and Refuse to Renew Mortgage Loan
Originator License and Notice of Right to Hearing
 
On June 22, 2009, the Commissioner issued a Notice of Intent to Revoke and Refuse to Renew Mortgage Loan Originator License and Notice of Right to Hearing (“Notice”) In the Matter of:  Maurice Fitchett (“Respondent”).  Respondent is a licensed mortgage loan originator for Primerica Financial Services Home Mortgages, Inc., a licensed mortgage broker.  The Notice alleged that Respondent made material misstatements with respect to his criminal history in his current application for renewal of his mortgage loan originator license and in a prior application for renewal of his loan originator registration.  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.
 
 
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Order to Cease and Desist and Notice of Intent to Fine Issued
 
On June 30, 2009, the Banking Commissioner issued an Order to Cease and Desist, Notice of Intent to Fine and Notice of Right to Hearing against Commonwealth Exploration Corporation, a Florida corporation having its principal office at 2002 Summit Boulevard, Suite 1225, Atlanta, Georgia; Carlos E. Conde of 1231 Adams Street, Franklin, Tennessee; and Derek M. Lofton of 118 Pond Drive, Stockbridge, Georgia.  Respondent Conde was the president of Commonwealth Exploration Corporation, and respondent Lofton was an agent of the company.  The Order to Cease and Desist and Notice of Intent to Fine stated that respondent Lofton had been the subject of a May 14, 2002 Order to Cease and Desist and Notice of Intent to Fine issued by the Commissioner.  The 2002 Order to Cease and Desist had become permanent on June 27, 2002 and respondent Lofton was fined $20,000 on July 30, 2002.
 
The current action alleged that, in 2007, respondents Commonwealth Exploration Corporation, Lofton and Conde sold unregistered interests in Perimeter Summit, LLP, a Georgia limited liability partnership, in violation of Section 36b-16 of the Connecticut Uniform Securities Act.  Perimeter Summit, LLP was allegedly formed to acquire oil and gas development projects in Kentucky.  The current action also alleged that the respondents violated the antifraud provisions in Section 36b-4 of the Act by disseminating offering documents that failed to disclose (1) financial information about the performance of prior interests in oil and gas rights in which Commonwealth Exploration Corporation was the manager; (2) investment risk factors; (3) that respondent Lofton was not registered to sell securities in Connecticut; (4) that the Perimeter Summit, LLP interests were not registered in Connecticut; and (5) that Lofton was subject to a prior Connecticut administrative action alleging that he sold unregistered securities in an unregistered capacity.  The current action also alleged that, in violation of Section 36b-6 of the Act, respondents Commonwealth Exploration Corporation and Conde employed respondent Lofton as an unregistered agent of issuer, and that respondent Lofton unlawfully transacted securities business in that capacity.
 
The respondents were afforded an opportunity to request a hearing on the Order to Cease and Desist.  A hearing on the Notice of Intent to Fine has been scheduled for August 11, 2009.
 

Order to Cease and Desist and Notice of Intent to Fine Issued
 
On July 1, 2009, the Banking Commissioner issued an Order to Cease and Desist, Notice of Intent to Fine and Notice of Right to Hearing against Resilient Partners, LLC of 318 North Carson Street, Suite 208, Carson City, Nevada, and Carlos M. Garcia, III of 143 Ironwood Road, Guilford, Connecticut.  Resilient Partners, LLC managed Paramount Equity Partners, LLC, an investment fund located in Connecticut and Nevada.  Carlos M. Garcia, in turn, was a member and manager of both Resilient Partners, LLC and Paramount Equity Partners, LLC.  The action alleged that, at various times between August 2002 and October 10, 2005, Resilient Partners, LLC, through respondent Garcia, rendered investment advisory services to Paramount Equity Partners, LLC and others at a time when (1) Resilient Partners, LLC was not registered as an investment adviser under the Connecticut Uniform Securities Act; and (2) Carlos M. Garcia was not registered as an investment adviser agent in Connecticut.  The respondents were afforded an opportunity to request a hearing on the Order to Cease and Desist.  A hearing on the Notice of Intent to Fine has been scheduled for September 15, 2009.
 
 
       Dated:  Wednesday, July 8, 2009
 
       Howard F. Pitkin
       Banking Commissioner