DOB: Bulletin 2587 - September 20, 2013

The Department of Banking News Bulletin 

Bulletin # 2587
Week Ending September 20, 2013

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.



STATE BANK ACTIVITY
Branch 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
08/19/13
UPS Capital Buiness Credit
Windsor
* Officina de Representacion
      en Monterrey
   Av. 444 Ricardo Margain
      Torre Norte. Of. 728
   Col. Valle de Campestre
   San Pedro de Garza Garcia
      N.L. CP 66265
   Monterrey, Mexico
Closing
Date
09/16/13
The Washington Trust Company
Westerly, R.I.
* Soundview Plaza, Suite 700R
   1266 East Main Street
   Stamford, CT  06902
Filed
09/18/13 
Bankwell Bank
New Canaan        
FROM:  2150 Post Road
           Fairfield, CT  06824
TO:      One Sasco Hill Road
           Fairfield, CT  06824
Filed To
Relocate
09/18/13
Bankwell Bank 
New Canaan
FROM:  2248 Black Road Tnpk
           Fairfield, CT  06824 
TO:      2220 Black Rock Tnpk
           Fairfield, CT  06824
Filed To
Relocate
12/31/13 
UPS Capital Business Credit
Windsor 
* Prime Capital Business Credit LLC
   Cerrito 228 Piso 7 Date
   C1010AAS Buenos Aires
   Argentina
Closing
Date
 12/31/13 
UPS Capital Business Credit 
Windsor      
* United Partners Comercial
     e Servicos, Ltda.
   Rua Pedroso Alvarenga
   1046-cj. 124
   04531-004 Sao Paulo, SP, Brazil
Closing
Date
 12/31/13 
UPS Capital Business Credit
Windsor
* Asesorias Andes Capital Ltda 
   Windsor Catedral 1009, Piso 18
   Edificio Plaza De Armas
   Santiagom, Chile
Closing
Date
12/31/13 
UPS Capital Business Credit
Windsor 
* Brucke S.A.S.
   Windsor Calle 122 # 18C
   Columbia
Closing
Date
 12/31/13 
UPS Capital Business Credit
Windsor 
* Industrial Development Services
     Pvt. Limited
   M-1 Kanchenjunga
   18 Barakhamba Road
   New Delhi 110 001
   India
Closing
Date
 12/31/13 
UPS Capital Business Credit
Windsor
    
* World Trade Center
   Montecito 38 Piso 30
   Oficina 34
   Col. Napoles C.P. 03810
   Mexico
Closing
Date
 12/31/13 
UPS Capital Business Credit
Winsor   
* Logistics, Business &
     Consulting,SA
   Calle Los Tuncanes 198
   San Isidro
   Lima 27, Peru
Closing
Date
12/31/13 
UPS Capital Business Credit
Windsor   
 * Worldwide Business
      Development, Inc.
   Buyukdere Cad. No. 24 34 330
   1 Levent
   Istanbul, Turkey
Closing
Date
*Loan Production Office
 
 
CONSUMER CREDIT DIVISION ACTIVITY
Check Cashing Service License Activity
 
Date Check Casher Location Activity
09/16/13
TCC Multikargo LLC 
 
370 West Main Street
Stamford, CT  06902
Filed
09/17/13  Navaid, Muhammad M.  1242 Main Street
Willimantic, CT  06226
Filed
 
 Consent Order
 
On August 28, 2013, the Commissioner entered into a Consent Order with Summit Funding, Inc d/b/a Summit Funding Inc. Your Mortgage Professionals (NMLS # 84943) (“Summit Funding”), Flushing, New York.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on July 2, 2013, the Commissioner issued a Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing.  The Commissioner alleged that Summit Funding failed to file certain annual information required by mortgage call reports, in violation of Section 36a-534b(c)(3) of the Connecticut General Statutes.  As part of the Consent Order, Summit Funding paid $2,500 as a civil penalty. 
 
Order Revoking Money Transmission License,
Order to Cease and Desist and Order Imposing Civil Penalty
 
On August 28, 2013, the Commissioner issued an Order Revoking Money Transmission License, Order to Cease and Desist and Order Imposing Civil Penalty (“Order”) In the Matter of:  Global Money Remittance, Inc. (“Global”) and InterTransfers, Inc. d/b/a InterTransfers (“InterTransfers”) (collectively, “Respondents”), both of Miami, Florida.  The basis of the Order was that:  Global failed to transmit money or monetary value received from purchasers constituting an unsafe or unsound practice within the meaning of Section 36a-596(16) of the Connecticut General Statutes and failed to notify the Commissioner no later than one business day after the commencement of a regulatory action by a governmental agency, in violation of Section 36a-598(e) of the Connecticut General Statutes; InterTransfers failed to notify the Commissioner no later than one business day after the commencement of a regulatory action by a governmental agency, in violation of Section 36a-598(e) of the Connecticut General Statutes; and each Respondent failed to demonstrate that its business will be conducted honestly, fairly, equitably, carefully and efficiently within the purposes and intent of Sections 36a-595 to 36a-610, inclusive, of the Connecticut General Statutes, and in a manner commanding the confidence and trust of the community.  The license of each Respondent to engage in the business of money transmission in Connecticut was revoked.  Global was ordered to cease and desist from engaging in an unsafe or unsound practice and violating Section 36a-598(e) of the Connecticut General Statutes and InterTransfers was ordered to cease and desist from violating Section 36a-598(e) of the Connecticut General Statutes.  In addition, each Respondent was ordered to pay a civil penalty in the amount of $100,000.
 
SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY
Cease and Desist from Regulatory Violations Issued; Notice of Intent to Fine Issued
 
On September 16, 2013, the Banking Commissioner issued an Order to Cease and Desist, Notice of Intent to Fine and Notice of Right to Hearing (Docket No. CF-13-7839-S) against multiple respondents, including Christian Meissenn of Orlando, Florida.  Meissenn, who was also known as Christian Nigohossian, Christian Mason, Christopher Mason and Christian Levon Nigohossian, also resided in Suffield, Connecticut.  From 2001 to 2003, Meissenn headed GIT Securities Corporation (CRD # 103735), a brokerage firm that was controlled by respondent Rescon Technology Corporation (“Rescon”).  Also named in the action were 1) Gabriel Abensur of Gibraltar; 2) John Morgan of New York, New York; 3) Speed of Thought Trading Corporation (“Speed”) of Philadelphia, Pennsylvania; 4) Rescon, which shared the same address as Speed; 5) Northeast Development Corporation (“Northeast”) of Philadelphia, Pennsylvania and Windsor Locks, Connecticut; 6) Hybrid Automotive Technologies, Inc. (“Hybrid”) of Enfield, Connecticut; 7) Ironclad Investments, LLC (“Ironclad”) of Bloomfield, Connecticut, an entity which held itself out as a high performance arbitraged FOREX fund; 8) Damian Seth Delgado of Orlando, Florida and Suffield, Connecticut, who had previously been sentenced in New Jersey to a term of imprisonment for securities fraud; and 9) The African Diamond Company, Inc. (now known as Coal Corporation) (“African”) of Herndon, Virginia.  Although African held itself out as having a business address in West Hartford, Connecticut, the action alleged that that address was actually a mail drop established by respondent Abensur.
 
At various times, Meissenn was allegedly the president of African, Speed, Rescon and Northeast.  Respondent Meissenn also formed Hybrid and, together with respondent Delgado, co-managed Ironclad.  The action also alleged that Meissenn and/or Abensur had a financial interest or served as an officer or director of Speed, Rescon, Northeast, African, Ironclad and Hybrid (the “Meissenn/Abensur Entities”), and that the securities issued by the Meissenn/Abensur Entities were low priced, thinly traded securities (penny stocks).
 
According to the action, over a span of eight years, commencing in 2001, respondents, with the exception of Delgado, sold unregistered securities of the Meissenn/Abensur Entities in or from Connecticut in violation of Section 36b-16 of the Connecticut Uniform Securities Act, and that respondent Morgan transacted business as an unregistered agent of issuer.  The action further alleged that Meissenn and Abensur violated the antifraud provisions by inducing investors who had previously bought securities issued by one or more of the Meissenn/Abensur entities to exchange their shares at a premium for different Meissenn/Abensur Entity securities while promising profitability but not disclosing critical information on the entity, the involvement of Meissenn and Abensur in the entity’s operations and the impact of dilution.  The action also alleged that Meissenn violated Section 36b-23 of the Act by misrepresenting in sworn testimony before Division investigators that Meissenn had no relationship with African.
 
The action further alleged that Meissenn and Abensur, with the material assistance of Delgado, engaged in a second fraudulent scheme which involved defrauding investors of Terra Energy Resources, Ltd. (“Terra”), a Delaware corporation quoted on OTC Link LLC.  Specifically, the action alleged that Abensur formed Sunrise Group Investments Corp. in Gibraltar, Bull Investments Limited in Gibraltar, Monrosa Investments Ltd. in the Republic of Seychelles, Romestar International Inc. in Gibraltar and Raven Investments PLC in Seychelles, then opened U.S. brokerage accounts for these companies at various broker-dealers, providing the companies’ address as 2842 Main Street, Suite 185, Glastonbury, Connecticut.  Through the companies, Abensur then bought and sold Terra securities multiple times on the same day in the companies’ various brokerage accounts, which created the false appearance of inflated and exaggerated trading activity in the shares of Terra.  Abensur deposited the sales proceeds into Ironclad’s bank account, which was controlled by Meissenn, and directed Meissenn and Delgado to write checks from that account for nonbusiness expenses.  The action also alleged that Abensur and/or Meissenn further perpetuated a scheme to defraud investors by circulating, from the Glastonbury address, misleading literature regarding Terra to investors in Connecticut and other states in an effort to create interest in Terra.
 
The respondents were afforded an opportunity to request a hearing on the Order to Cease and Desist and Notice of Intent to Fine.
 
Consent Order Entered
 
On September 19, 2013, the Banking Commissioner entered a Consent Order (No. CO-13-7936-S) with respect to Hollywood Next Holdings LLC of Waterford, Connecticut and A. Searle Field, director and control person of the company.  The Consent Order alleged that the respondents violated Section 36b-16 of the Connecticut Uniform Securities Act by offering and selling securities that were not registered nor the subject of a filed exemption claim.  Those securities consisted of shares and/or units of Hollywood Next Holdings LLC as well as securities issued by United Atlantic Film Fund No. 1, LLC, United Atlantic Film Equity Fund No. 2, LLC, United Atlantic Film Equity Fund No. 3, LLC, United Atlantic Film Equity Fund No. 4, LLC and United Atlantic Film Equity Fund No. 5, LLC.  Ultimately, on August 29, 2013, respondent Field made exemptive filings for the United Atlantic funds.  The Consent Order also alleged that the respondents violated the antifraud provisions in Section 36b-4(a)(2) of the Act in connection with sales of the securities.  In resolution of the matter, the respondents agreed to cease and desist from regulatory violations.  The Consent Order also directed respondent Field to pay a $50,000 fine no later than November 1, 2013.
 
 
       Dated:  Tuesday, September 24, 2013
 
 
       Howard F. Pitkin
       Banking Commissioner