DOB: Bulletin 2669 - April 17, 2015

The Department of Banking News Bulletin 

Bulletin # 2669
Week Ending April 17, 2015

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 Jorge L. Perez, 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
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 
04/17/15
 
Evolve Bank & Trust
Memphis, TN
* 1449 Old Waterbury Road
   Suite 207-C
   Southbury, CT  06488
Filed
05/15/15
United Bank
Rockville
* 114 State Road
   Sagamore Beach, MA  02562
Closing
Date
*Loan Production Office


CONSUMER CREDIT DIVISION ACTIVITY
Temporary Order to Cease and Desist, Order of Summary Suspension,
Notice of Intent to Revoke Consumer Collection Agency License,
Notice of Intent to Issue Order to Cease and Desist and
Notice of Intent to Impose Civil Penalty

On April 7, 2015, the Commissioner issued a Temporary Order to Cease and Desist, Order of Summary Suspension, Notice of Intent to Revoke Consumer Collection Agency License, Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing (“Order and Notice”) in the Matter of:  Educational Funding Company, Inc. (“Respondent”), Chevy Chase, Maryland.  The Notice was the result of an investigation by the Consumer Credit Division.  The Commissioner alleges that Respondent failed to provide requested records to the Division during the course of an examination of Respondent, in violation of Section 36a-17(d) of the Connecticut General Statutes.  The Commissioner also found that public safety and welfare imperatively require emergency action to summarily suspend Respondent’s license to act as a consumer collection agency in this state, and that public welfare required immediate action to issue a Temporary Order to Cease and Desist.  Respondent was afforded an opportunity to request a hearing with regard to the allegation set forth in the Order and Notice.

Order to Cease and Desist and Order Imposing Civil Penalty

On April 10, 2015, the Commissioner issued an Order to Cease and Desist and Order Imposing Civil Penalty (“Order”) in the Matter of:  UMC, Inc. d/b/a United Mortgage Consulting (“UMC”), Newport Beach, California, and Brandon P. Chodosh (“Chodosh”) (collectively, “Respondents”).  The basis of the Order was that UMC:  acted as a mortgage broker in this state without obtaining the required license, in violation of Section 36a-486(a) of the Connecticut General Statutes; required the payment of an advance fee by a Connecticut resident, which was neither refunded nor disclosed as nonrefundable, in violation of Section 36a-498(f) of the Connecticut General Statutes; and provided a falsified residential mortgage approval letter to a Connecticut resident, in violation of Section 36a-53b of the Connecticut General Statutes.  In addition, Chodosh violated Section 36a-53b of the Connecticut General Statutes.  UMC was ordered to cease and desist from violating Sections 36a-486(a), 36a-498(f) and 36a-53b of the Connecticut General Statutes, and to pay a civil penalty of $300,000.  Chodosh was ordered to cease and desist from violating Section 36a-53b of the Connecticut General Statutes, and to pay a civil penalty of $100,000.  The Order to Make Restitution previously issued against Respondents on December 8, 2014, remains in effect and became permanent on December 28, 2014.


    Dated:  Tuesday, April 21, 2015


    Jorge L. Perez
    Banking Commissioner