DOB: Martinez-Ayme Financial Group - Revocation

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IN THE MATTER OF:

MARTINEZ-AYME FINANCIAL
GROUP INCORPORATED
d/b/a MARTINEZ-AYME
SECURITIES

CRD No. 109838

    ("Respondent")

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ORDER REVOKING

REGISTRATION AS

A BROKER-DEALER


DOCKET NO. NR-15-8244-S

I. PRELIMINARY STATEMENT

WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Chapter 672a of the General Statutes of Connecticut, the Connecticut Uniform Securities Act (“Act”), and Sections 36b-31-2 to 36b-31-33, inclusive, of the Regulations of Connecticut State Agencies (“Regulations”) promulgated under the Act;
 
WHEREAS, on November 23, 2015, the Commissioner, acting pursuant to Section 36b-15 of the Act and Section 4-182(c) of the General Statutes of Connecticut, issued a Notice of Intent to Revoke Registration as a Broker-dealer and Notice of Right to Hearing (collectively “Notice”) against Respondent, which Notice is incorporated by reference herein;
 
WHEREAS, the Commissioner alleged in the Notice that the September 19, 2013 and March 9, 2015 Financial Industry Regulatory Authority (“FINRA”) sanctions of Respondent and the June 10, 2015 and September 14, 2015 expulsions of Respondent from FINRA form a basis for the revocation of Respondent’s registration as a broker-dealer in Connecticut pursuant to Section 36b-15(a)(2)(F)(iii) of the Act;
 
WHEREAS, the Notice stated, inter alia, that the Commissioner had reason to believe that grounds existed to revoke Respondent’s registration as a broker-dealer in Connecticut pursuant to Section 36b-15(a)(2)(F)(iii) of the Act, that notice was thereby given to Respondent that Respondent’s registration as a broker-dealer in Connecticut would be revoked, subject to Respondent’s right to request a hearing on the allegations set forth in the Notice, that Respondent would be afforded an opportunity for a hearing on the allegations set forth in the Notice if a written request for a hearing were received by the Department within fourteen (14) days following Respondent’s receipt of the Notice, that if Respondent failed to request a hearing within the time period prescribed or failed to appear at any such hearing, the allegations in the Notice would be deemed admitted, and the Commissioner would issue an order revoking Respondent’s registration as a broker-dealer in Connecticut;
 
WHEREAS, on November 24, 2015, the Notice was sent by certified mail, return receipt requested, to Respondent;
 
WHEREAS, on February 1, 2016, the Notice mailed to Respondent at 9495 Sunset Drive, Suite B275, Miami, Florida 33173, was returned to the Department of Banking marked “Return to Sender – Not Deliverable as Addressed – Unable to Forward”;
 
WHEREAS, Respondent filed an irrevocable consent pursuant to Section 36b-33(g) of the Act appointing the Commissioner to receive service of any lawful process in any noncriminal suit which arises under Sections 36b-2 to 36b-34, inclusive, of the Act, with the same force and validity as if served personally on it;
 
WHEREAS, on January 19, 2016, the Notice was served on the Commissioner pursuant to Section 36b-33(g) of the Act;
 
WHEREAS, on January 20, 2016, Notice of Service on the Banking Commissioner In the Matter of:  Martinez-Ayme Financial Group Incorporated d/b/a Martinez-Ayme Securities (CRD No. 109838) dated January 20, 2016 (“Notice of Service”) was sent by certified mail, return receipt requested, to Respondent pursuant to as [sic] Section 36b-33(g) of the Act;
 
WHEREAS, Respondent has failed to request a hearing on the matters set forth in the Notice within 14 days of the date of the Notice of Service;
 
WHEREAS, Section 36a-1-31(a) of the Regulations provides, in pertinent part, that:

      When a party fails to request a hearing within the time specified in the notice, the allegations against the party may be deemed admitted.  Without further proceedings or notice to the party, the commissioner shall issue a final decision in accordance with section 4-180 of the Connecticut General Statutes and section 36a-1-52 of the Regulations of Connecticut State Agencies[;]

WHEREAS, Section 36b-15 of the Act provides, in pertinent part, that:
 
     (a)        The commissioner may, by order . . . revoke any registration . . . if the commissioner finds that (1) the order is in the public interest, and (2) the . . . registrant or, in the case of a broker-dealer . . . any partner, officer, or director, any person occupying a similar status or performing similar functions, or any person directly or indirectly controlling the broker-dealer . . . (F) is the subject of any of the following sanctions that are currently effective or were imposed within the past ten years . . . (iii) a suspension, expulsion or other sanction issued by a national securities exchange or other self-regulatory organization registered under federal laws administered by the Securities and Exchange Commission . . . if the effect of the sanction has not been stayed or overturned by appeal or otherwise[.]
          
     
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  (f)  No order may be entered under this section except as provided in subsection (c) of this section without (1) appropriate prior notice to the . . . registrant . . . (2) opportunity for hearing, and (3) written findings of fact and conclusions of law[;]
 
WHEREAS, Section 36b-31(a) of the Act provides, in pertinent part, that “[t]he commissioner may from time to time make . . . such . . . orders as are necessary to carry out the provisions of sections 36b-2 to 36b-34, inclusive”;
 
AND WHEREAS, Section 36b-31(b) of the Act provides, in pertinent part, that “[n]o . . . order may be made . . . unless the commissioner finds that the action is necessary or appropriate in the public interest or for the protection of investors and consistent with the purposes fairly intended by the policy and provisions of sections 36b-2 to 36b-34, inclusive."

II. FINDINGS OF FACT AND CONCLUSIONS OF LAW

1. The Commissioner finds that the facts as set forth in paragraphs 3 through 13, inclusive, of the Notice shall constitute findings of fact within the meaning of Section 4-180(c) of the General Statutes of Connecticut and Section 36a-1-52 of the Regulations, and that the Statutory Basis for Revocation of Registration as a Broker-dealer set forth in paragraphs 14 and 15 of the Notice shall constitute conclusions of law within the meaning of Section 4-180(c) of the General Statutes of Connecticut and Section 36a-1-52 of the Regulations.
2. The Commissioner finds that grounds exist to revoke Respondent’s registration as a broker-dealer in Connecticut pursuant to Section 36b-15(a)(2)(F)(iii) of the Act.
3. The Commissioner finds that the facts require the issuance of an order revoking Respondent’s registration as a broker-dealer in Connecticut.
4. The Commissioner finds that the Notice complied with the requirements of Section 36b-15(f) of the Act and Sections 4-177 and 4-182(c) of the General Statutes of Connecticut.
5. The Commissioner finds that the issuance of an order revoking Respondent’s registration as a broker-dealer in Connecticut is necessary and appropriate in the public interest and for the protection of investors and consistent with the purposes fairly intended by the policy and provisions of Sections 36b-2 to 36b-34, inclusive, of the Act.

III. ORDER

Having read the record, I hereby ORDER, pursuant to Section 36b-15 of the Act, that:

1. The registration of Martinez-Ayme Financial Group Incorporated d/b/a Martinez-Ayme Securities as a broker-dealer in Connecticut is hereby REVOKED; and
2. This Order shall become effective when mailed.



Dated at Hartford, Connecticut,       ____/s/_____________
this 18th day of February 2016.      Jorge L. Perez
         Banking Commissioner 


This Order was sent by certified
mail, return receipt requested, to
Respondent on February 19, 2016.

Martinez-Ayme Financial Group Incorporated
d/b/a Martinez-Ayme Securities
9495 Sunset Drive, Suite B275
Miami, FL 33173
Certified mail no. 7012 3050 0002 1692 8495


Administrative Orders and Settlements