Bulletin 3052 - August 19, 2022

State of Connecticut
Department of Banking

The Department of Banking News Bulletin

Bulletin # 3052 - Week Ending August 19, 2022

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.

CONSUMER CREDIT DIVISION ACTIVITY

Temporary Order to Cease and Desist, Notice of Intent to Issue Order to Cease and Desist and Notice of Intent to Impose Civil Penalty

On August 9, 2022, the Commissioner issued a
Temporary Order to Cease and Desist, 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”) in the Matter of:
Law Offices of David M. Katz, P.C.
(“Respondent”), New York, New York. The Order and Notice was the result of an investigation by the Consumer Credit Division. The Commissioner alleges that Respondent acted within this state as a consumer collection agency without a consumer collection agency license, in violation of Section 36a-801(a) of the Connecticut General Statutes in effect at such time. The Commissioner found that the public welfare required the issuance of a Temporary Order to Cease and Desist against Respondent. Respondent was afforded an opportunity to request a hearing on the allegation set forth in the Order and Notice.

Consent Order

On August 8, 2022, the Commissioner entered into a Consent Order with Monterey Financial Services LLC d/b/a Monterey Collection Services , Oceanside, California (“Monterey”). The Consent Order resolved allegations made by the Commissioner in an 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 against Monterey, among other respondents, issued on January 11, 2022 (“Order and Notice”). The Order and Notice was the result of an investigation by the Consumer Credit Division. The Order and Notice alleged that between September 27, 2019 and July 27, 2020, Monterey received payments of principal and interest in connection with a small loan made to a Connecticut borrower without obtaining the required license, in violation of Section 36a-556 of the Connecticut General Statutes, in effect at such time.

As part of the Consent Order, Monterey paid $10,000 as a civil penalty and $400 for back-licensing fees. Also as part of the Consent Order, Monterey shall refund monies in the amount of $17,749.94, plus interest, to fourteen Connecticut consumers.

Dated: Tuesday, August 23, 2022

Jorge L. Perez
Banking Commissioner