DOB: Umbrella Recovery Team LLC - CO

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IN THE MATTER OF:

UMBRELLA RECOVERY TEAM LLC 

      ("Umbrella Recovery")

   
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CONSENT ORDER        

WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part XII of Chapter 669, Sections 36a-800 to 36a-812, inclusive, of the Connecticut General Statutes, “Consumer Collection Agencies”, and the regulations promulgated thereunder, Sections 36a-809-6 to 36a-809-17, inclusive, of the Regulations of Connecticut State Agencies (“Regulations”);
 
WHEREAS, Umbrella Recovery is a California limited liability company with offices at 73280 El Paseo Drive, Suite 5, Palm Desert, California, and 78365 Highway 111, Suite 514, La Quinta, California;
 
WHEREAS, Umbrella Recovery is not currently licensed to act as a consumer collection agency in Connecticut;
 
WHEREAS, the Commissioner, through the Consumer Credit Division of the Department of Banking, conducted an investigation pursuant to Section 36a-17(a) of the Connecticut General Statutes into the activities of Umbrella Recovery to determine if it had violated, was violating or was about to violate the provisions of the Connecticut General Statutes and Regulations within the jurisdiction of the Commissioner;
 
WHEREAS, as a result of such investigation, the Commissioner alleges that Umbrella Recovery acted within this state as a consumer collection agency without a consumer collection agency license, in violation of Section 36a-801(a) of the 2014 Supplement to the General Statutes;
 
WHEREAS, the Commissioner believes that such allegation would support the initiation of enforcement proceedings against Umbrella Recovery, including proceedings to issue a cease and desist order against Umbrella Recovery pursuant to Sections 36a-804(b) and 36a-52(a) of the Connecticut General Statutes, and impose a civil penalty of up to one hundred thousand dollars ($100,000) per violation against Umbrella Recovery pursuant to Sections 36a-804(b) and 36a-50(a) of the Connecticut General Statutes;
 
WHEREAS, initiation of such enforcement proceedings would constitute a “contested case” within the meaning of Section 4-166(2) of the Connecticut General Statutes;
 
WHEREAS, Section 4-177(c) of the Connecticut General Statutes and Section 36a-1-55(a) of the Regulations of Connecticut State Agencies provide that a contested case may be resolved by consent order, unless precluded by law;
 
WHEREAS, both the Commissioner and Umbrella Recovery acknowledge the possible consequences of formal administrative proceedings, and Umbrella Recovery voluntarily agrees to consent to the entry of the sanctions described below without admitting or denying any allegation set forth herein, and solely for the purpose of obviating the need for formal administrative proceedings concerning the allegation set forth herein;
 
WHEREAS, Umbrella Recovery herein represents that it has ceased acting within this state as a consumer collection agency and specifically assures the Commissioner that the violation alleged herein shall not occur in the future;
 
AND WHEREAS, Umbrella Recovery, through its execution of this Consent Order, voluntarily agrees to waive its procedural rights, including a right to notice and an opportunity for a hearing as it pertains to the allegation set forth herein, and voluntarily waives its right to seek judicial review or otherwise challenge or contest the validity of this Consent Order.


CONSENT TO ENTRY OF SANCTIONS

WHEREAS, Umbrella Recovery, through its execution of this Consent Order, consents to the Commissioner’s entry of a Consent Order imposing the following sanctions:

1.No later than the date this Consent Order is executed by Umbrella Recovery, Umbrella Recovery shall remit to the Department of Banking by cashier’s check, certified check or money order made payable to “Treasurer, State of Connecticut”, the sum of Five Thousand Dollars ($5,000) as a civil penalty; and
2.Umbrella Recovery shall immediately cease and desist from acting as consumer collection agency in Connecticut without a license, in violation of Section 36a-801(a) of the 2014 Supplement to the General Statutes.

CONSENT ORDER

NOW THEREFORE, the Commissioner enters the following:

1.The Sanctions set forth above be and are hereby entered;
2.Upon issuance of this Consent Order by the Commissioner, this matter will be resolved and the Commissioner will not take any future enforcement action against Umbrella Recovery based upon the allegation contained herein; provided that issuance of this Consent Order is without prejudice to the right of the Commissioner to take enforcement action against Umbrella Recovery based upon a violation of this Consent Order or the matters underlying its entry, if the Commissioner determines that compliance with the terms herein is not being observed or if any representation made by Umbrella Recovery and reflected herein is subsequently discovered to be untrue;
3.Nothing in the issuance of this Consent Order shall adversely affect the ability of Umbrella Recovery to apply for or obtain a license or renewal licenses under Part XII of Chapter 669, Sections 36a-800 to 36a-812 et seq., of the Connecticut General Statutes; and
4.This Consent Order shall become final when issued.


Issued at Hartford, Connecticut
this 19th day of May 2014.                _______/s/_________
                                                     Howard F. Pitkin
                                                     Banking Commissioner


I, Michael Lauria, state on behalf of Umbrella Recovery Team LLC, that I have read the foregoing Consent Order; that I know and fully understand its contents; that I am authorized to execute this Consent Order on behalf of Umbrella Recovery Team LLC; that Umbrella Recovery Team LLC agrees freely and without threat or coercion of any kind to comply with the sanctions entered and terms and conditions ordered herein; and that Umbrella Recovery Team LLC voluntarily agrees to enter into this Consent Order, expressly waiving the procedural rights set forth herein as to the matters described herein.

                                            By:  ________/s/___________
                                                  Name:  Michael Lauria
                                                  Title:  Officer
                                                  Umbrella Recovery Team LLC

State of:  California

County of:  Riverside


On this the 2 day of May 2014, before me, Ariana Hays, the undersigned officer, personally appeared Michael Lauria who acknowledged himself to be the Officer of Umbrella Recovery Team LLC, a member managed/manager managed limited liability company, and that he as such Officer, being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the limited liability company by himself as Officer.

In witness whereof I hereunto set my hand.


                                                       _________/s/_________
                                                       Notary Public  
                                                       Date Commission Expires:  November 22, 2016



Administrative Orders and Settlements