Bulletin 2840 - July 27, 2018

State of Connecticut
Department of Banking

The Department of Banking News Bulletin

Bulletin # 2840 - Week Ending July 27, 2018

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 business 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, of for a limited branch at which loans will be made, address how the establishment of the branch will be consistent with safe and sound banking practices and promote the public convenience and advantage. 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:
July 30, 2018

BANK:
Savings Bank of Danbury, Danbury

LOCATION:
2586 Summer Street, Stamford, CT 06905

ACTIVITY-BRANCH TYPE:
Opening Date of Full Service Branch

CREDIT UNION ACTIVITY

Branch Activity

DATE:
June 7, 2018

CREDIT UNION:
Nutmeg State Financial Credit Union, Inc., Rocky Hill

LOCATION:
1095 West Street, Southington, CT 06489

ACTIVITY:
Filed to Open Full Service Branch

SECURITIES AND BUSINESS INVESTMENTS DIVISION ACTIVITY

AFT Logistics, LLC Fined $20,000

On July 25, 2018, the Banking Commissioner entered an Order Imposing Fine (Docket No. CRF-18-8331-S) against AFT Logistics, LLC (now known as Equity One Contractors LLC) of 1681 Highway 73, Iron Station, North Carolina 28080. The order had been preceded by a May 2, 2018 Order to Cease and Desist, Order to Make Restitution, Notice of Intent to Fine and Notice of Right to Hearing alleging that the respondent offered two Connecticut investors an opportunity to invest in a trucking venture run by the respondent and to achieve an income stream averaging $1,400 to $2,000 weekly; that the respondent sold unregistered securities in violation of Section 36b-16 of the Connecticut Uniform Securities Act; and that the respondent violated the antifraud provisions in Section 36b-4(a) of the Act. Since AFT Logistics, LLC did not request a hearing on the Order to Cease and Desist and Order to Make Restitution, those orders had become permanent on June 28, 2018.

AFT Logistics, LLC also did not request a hearing on the Notice of Intent to Fine. Adopting as findings the allegations in the original Notice, the Commissioner determined that AFT Logistics, LLC violated Sections 36b-16 and 36b-4(a) of the Act, and fined the respondent $20,000.

Brandi Freeman and Javeir Johnson Each Fined $20,000

On July 25, 2018, the Banking Commissioner entered two Orders Imposing Fine (Docket No. CRF-18-8331-S) against Brandi Freeman and Javeir Johnson , respectively. Freeman and Johnson a/k/a Jay Johnson had been corespondents in a May 2, 2018 Order to Cease and Desist, Order to Make Restitution, Notice of Intent to Fine and Notice of Right to Hearing to which AFT Logistics, LLC was also a party. Freeman and Johnson were the managing members of AFT Logistics, LLC. The May 2, 2018 action had alleged that in April 2016, the respondents offered two Connecticut investors an opportunity to invest in a trucking venture run by respondents and to achieve an income stream averaging $1,400 to $2,000 weekly; that, contrary to representations made by the respondents, at least a portion of the investors' funds was used to pay for respondents' personal expenses; and that respondents failed to honor the investors' request for a return of their investment. The action also alleged that the respondents sold unregistered securities in violation of Section 36b-16 of the Connecticut Uniform Securities Act and violated the antifraud provisions in Section 36b-4(a) of the Act.

Since Freeman and Johnson failed to request a hearing on the Order to Cease and Desist and the Order to Make Restitution, those orders had become permanent as to each of them on June 28, 2018.

Freeman and Johnson similarly did not request a hearing on the Notice of Intent to Fine. Therefore, the two Orders Imposing Fine were entered by default. Adopting as findings the allegations in the original Notice, the Commissioner determined that Freeman and Johnson had each violated Sections 36b-16 and 36b-4(a) of the Act. The Commissioner imposed a $20,000 fine on Freeman and a $20,000 fine on Johnson.

Dated: Tuesday, July 31, 2018

Jorge L. Perez
Banking Commissioner