Bulletin 2886 - June 14, 2019

State of Connecticut
Department of Banking

The Department of Banking News Bulletin

Bulletin # 2886 - Week Ending June 14, 2019

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

Change of Name

On June 14, 2019, the Commissioner approved the application of Start Community Bank , New Haven, Connecticut, to change its name to New Haven Bank pursuant to Section 36a-82 of the Connecticut General Statutes.

CONSUMER CREDIT DIVISION ACTIVITY

Notice of Automatic Suspension, Temporary Order to Cease and Desist, Notice of Intent to Revoke Mortgage Lender License of Branch Office, Notice of Intent to Issue Order to Cease and Desist and Notice of Right to Hearing

On June 3, 2019, the Commissioner issued a
Notice of Automatic Suspension, Temporary Order to Cease and Desist, Notice of Intent to Revoke Mortgage Lender License of Branch Office, Notice of Intent to Issue Order to Cease and Desist and Notice of Right to Hearing (collectively, “Order”) in the Matter of:
Bay-Valley Mortgage Group d/b/a Bay-Valley Mortgage Group, Inc. d/b/a Pacific Bay Lending Group d/b/a Valley View Home Loans , NMLS # 192103, Garden Grove, California (“Respondent”). The Order was a result of an investigation by the Consumer Credit Division. The Commissioner alleges that: Respondent’s failure to designate a qualified branch manager for its branch office, Branch ID # 1729775, constitutes sufficient grounds for the Commissioner to deny an application for a mortgage lender license under Section 36a‑489(a)(1)(A) of the Connecticut General Statutes and constitutes a violation of Section 36a‑488(a)(1)(B) of the Connecticut General Statutes. Respondents were afforded an opportunity to request a hearing with regard to the allegations set forth in the Order.

Consent Order

On June 3, 2019, the Commissioner entered into a Consent Order with Panatte, LLC (NMLS # 1449417), Seattle, Washington. The Consent Order was based on an investigation by the Consumer Credit Division. As a result of such investigation, the Commissioner alleged that Panatte, LLC acted as a consumer collection agency in Connecticut between May 2017 and May 2018 without a consumer collection agency license, in violation of Section 36a-801(a) of the Connecticut General Statutes, effective January 1, 2017, or Section 36a-801(a) of the 2018 Supplement to the General Statutes. As part of the Consent Order, Panatte, LLC paid $10,000 as a civil penalty and $800 as back licensing fees.

Consent Order

On June 3, 2019, the Commissioner entered into a Consent Order with Doulos Multiple Services, LLC , Stamford, Connecticut, and Sammy Irizarry (“Irizarry”) (collectively, “Respondents”). The Consent Order was based on an investigation by the Consumer Credit Division. As a result of such investigation, on December 26, 2018, the Commissioner issued a Temporary Order to Cease and Desist, Order to Make Restitution, Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing (collectively “Order and Notice”) against Respondents. The Commissioner alleged that Respondents engaged in debt negotiation in Connecticut without obtaining the required license, in violation of Section 36a-671(b) of the Connecticut General Statutes in effect prior to October 1, 2017, and that Irizarry engaged in debt negotiation of a residential mortgage loan on behalf of a mortgagor for compensation or gain in Connecticut without obtaining the required mortgage loan originator license, in violation of subsections (b) and (c) of Section 36a-671e of the Connecticut General Statutes. As part of the Consent Order, Respondents paid $1,000 as a civil penalty and shall repay the mortgagor $2,400 as restitution.

Order to Cease and Desist and Order Imposing Civil Penalty

On June 7, 2019, the Commissioner issued an
Order to Cease and Desist and Order Imposing Civil Penalty (“Order”) in the Matter of:
Target Finance, LLC d/b/a Target Cash Now
, Hays, Montana (“Respondent”). The basis of the Order was that Respondent made at least one small loan to a Connecticut borrower without obtaining the required license, in violation of Section 36a-556(a)(1) of the Connecticut General Statutes, offered or solicited small loans in Connecticut without the required license, in violation of Section 36a-556(a)(2) of the Connecticut General Statutes, and advertised a small loan in this state without the required license, in violation of Section 36a-556(a)(6) of the Connecticut General Statutes. The Commissioner ordered Respondent to cease and desist from violating subdivisions (1), (2) and (6) of Section 36a-556(a) of the Connecticut General Statutes and imposed a civil penalty in the amount of $400,000 upon Respondent. In addition, the Order to Make Restitution issued against Respondent on March 29, 2019, remains in effect and became permanent on April 23, 2019.

Dated: Wednesday, June 19, 2019

Jorge L. Perez
Banking Commissioner