DOB: Bulletin 2653 - December 26, 2014

The Department of Banking News Bulletin 

Bulletin # 2653
Week Ending December 26, 2014

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, Department of Banking, 260 Constitution Plaza, Hartford, CT 06103-1800.  Written comments will be considered only if they are received within ten days from the date of this bulletin.

STATE BANK ACTIVITY
Interstate Loan Production Office

On December 22, 2014, the Commissioner approved the application of Manufacturers and Traders Trust Company, a New York banking corporation with its main office in Buffalo, New York, to establish a loan production office at 393 State Street, North Haven, Connecticut. The application was approved pursuant to Section 36a-412(d) of the Connecticut General Statutes.

On December 22, 2014, the Commissioner approved the application of UBS Bank USA, a Utah industrial bank with its main office in Salt Lake City, Utah, to establish a loan production office at 300 Post Road West, Westport, Connecticut. The application was approved pursuant to Section 36a-412(d) of the Connecticut General Statutes.

CREDIT UNION ACTIVITY
Conversion

On December 22, 2014, the Commissioner approved the conversion of American Eagle Federal Credit Union, East Hartford, Connecticut, from a federal credit union to a Connecticut credit union pursuant to Section 36a-469b of the Connecticut General Statutes.  The Connecticut credit union will be known as American Eagle Financial Credit Union, Inc.  The proposed field of membership of the Connecticut credit union will consist of: persons who live, work, worship, or attend school in, and businesses and other legal entities located in Harford County, Middlesex County, Tolland County, or New Haven County, Connecticut; and, also included are spouses of persons who died while within the field of membership of this credit union, volunteers in the community, employees of this credit union, organizations of such persons, and members of the immediate family or household of such persons, volunteers or employees.

On December 23, 2014, the Commissioner approved the conversion of Nutmeg State Federal Credit Union, Rocky Hill, Connecticut, from a federal credit union to a Connecticut credit union pursuant to Section 36a-469b of the Connecticut General Statutes. The Connecticut credit union will be known as Nutmeg State Financial Credit Union, Inc.  The proposed field of membership of the Connecticut credit union will consist of: persons who live, work, worship, or attend school in, and businesses and other legal entities located in Harford County, Middlesex County, Tolland County, or New Haven County, Connecticut; and, also included are spouses of persons who died while within the field of membership of this credit union, volunteers in the community, employees of this credit union, organizations of such persons, and members of the immediate family or household of such persons, volunteers or employees. 

CONSUMER CREDIT DIVISION ACTIVITY
Consent Orders

On December 8, 2014, the Commissioner entered into a Consent Order with Guaranty Federal Financial Corporation d/b/a Guaranty Federal (NMLS # 2624) (“Guaranty Federal”), West Hartford, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on October 30, 2014, 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 against Guaranty Federal.  The Commissioner alleged that Guaranty Federal 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, Guaranty Federal paid $2,500 as a civil penalty.

On December 11, 2014, the Commissioner entered into a Consent Order with Carollo, Joseph E. d/b/a Carollo Mortgage (NMLS # 93416) (“Carollo Mortgage”), South Glastonbury, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on August 26, 2014, 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 against Carollo Mortgage.  The Commissioner alleged that Carollo Mortgage failed to timely file certain quarterly information required by mortgage call reports, in violation of Section 36a-534b(c)(3) of the Connecticut General Statutes and in violation of an order of the Commissioner.  As part of the Consent Order, Carollo Mortgage paid $2,500 as a civil penalty.

On December 11, 2014, the Commissioner entered into a Consent Order with Commercial Enterprises LLC d/b/a Cellura Mortgagers (NMLS # 222382) (“Cellura Mortgagers”), Guilford, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on October 21, 2014, 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 against Cellura Mortgagers.  The Commissioner alleged that Cellura Mortgagers failed to timely file certain quarterly 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, Cellura Mortgagers paid $500 as a civil penalty.

On December 11, 2014, the Commissioner entered into a Consent Order with Mortgage Services, Inc. (NMLS # 2594) (“Mortgage Services”), Waterbury, Connecticut.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, on May 19, 2014, 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 against Mortgage Services.  The Commissioner alleged that Mortgage Services failed to timely 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, Mortgage Services paid $2,500 as a civil penalty.

On December 19, 2014, the Commissioner entered into a Consent Order with Stonegate Mortgage Corporation d/b/a Stonegate Direct (“Stonegate”) ( NMLS # 1188678), Lake Forest, California.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleged that Stonegate changed the address of its branch office specified on its most recent filing with the Nationwide Mortgage Licensing System and Registry (“NMLS”) and failed to file such change with NMLS at least 30 calendar days prior to such change, in violation of Section 36a 490(b) of the Connecticut General Statutes, and, in connection with such address change, failed to provide, directly to the commissioner, a bond rider or endorsement, or addendum, as applicable, to the surety bond on file with the Commissioner that reflects the address of the branch office, in violation of Section 36a-490(b) of the Connecticut General Statutes  As part of the Consent Order, Stonegate paid $500 as a civil penalty.
 
On December 15, 2014, the Commissioner entered into a Consent Order with Global Client Solutions, LLC (“Global Client Solutions”), Tulsa, Oklahoma.  The Consent Order was based on an investigation by the Consumer Credit Division.  As a result of such investigation, the Commissioner alleges that Global Client Solutions failed to disclose the existence of an Illinois Department of Financial and Professional Regulation, Division of Financial Institutions issued Cease and Desist Order in its application and renewal application for a money transmission license relating to a dispute with the state of Illinois that was ultimately resolved with Illinois regulators relating to a licensing issue prior to any period relevant to its Connecticut license or renewal, in alleged violation of Section 36a-598(e)(3) of the Connecticut General Statutes.  As part of the Consent Order, Global Client Solutions paid $2,000 as a civil penalty.



 Dated:  Tuesday, December 30, 2014

 Howard F. Pitkin
 Banking Commissioner