| * * * * * * * * * * * * * * * * * * * * * * * * IN THE MATTER OF: EQUITY 4 U, INC. | * * * * * * * * * | CONSENT ORDER |
WHEREAS, Equity 4 U is a Missouri corporation with a place of business at 109 West 11th, Lamar, Missouri;
WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part V of Chapter 668, Sections 36a-595 to 36a-612, inclusive, of the Connecticut General Statutes, “Payment Instruments. Money Transmission” and Sections 36a-655 to 36a-665, inclusive, of the Connecticut General Statutes contained in Part II of Chapter 669 of the Connecticut General Statutes, “Debt Adjusters and Debt Negotiation”;
WHEREAS, the Commissioner, through the Consumer Credit Division of the Department of Banking, conducted an investigation pursuant to Section 36a-17 of the Connecticut General Statutes into the activities of Equity 4 U to determine if it had violated, was violating or was about to violate the provisions of the Connecticut General Statutes within the jurisdiction of the Commissioner;
WHEREAS, as a result of such investigation, the Commissioner alleges that from approximately May 2010 to December 2015, Equity 4 U engaged in the business of money transmission in this state without a license, in violation of Section 36a-597 of the Connecticut General Statues, and engaged in the business of debt adjustment in this state without a license, in violation of Section 36a-656 of the Connecticut General Statutes;
WHEREAS, the Commissioner believes that such allegations would support initiation of enforcement proceedings against Equity 4 U, including proceedings to issue a cease and desist order pursuant to Sections 36a-608(c), 36a-657(b) and 36a-52(a) of the Connecticut General Statutes, issue an order to make restitution pursuant to Sections 36a-608(c), 36a-657(b) and 36a-50(c) of the Connecticut General Statutes, and impose a civil penalty of up to one hundred thousand dollars ($100,000) per violation pursuant to Sections 36a-608(c), 36a-657(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(4) of the 2016 Supplement to the 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, the Commissioner and Equity 4 U acknowledge the possible consequences of formal administrative proceedings, and Equity 4 U voluntarily agrees to consent to the entry of the sanctions imposed 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 allegations set forth herein;
WHEREAS, the Commissioner and Equity 4 U now desire to resolve the matters set forth herein;
WHEREAS, Equity 4 U herein represents that it has ceased and desisted from engaging in the business of money transmission and debt adjustment in this state;
WHEREAS, Equity 4 U specifically assures the Commissioner that the violations alleged herein shall not occur in the future;
AND WHEREAS, Equity 4 U, through its execution of this Consent Order, voluntarily agrees to waive its procedural rights, including a right to a notice and an opportunity for a hearing as it pertains to the allegations 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, Equity 4 U, through its execution of this Consent Order, consents to the Commissioner’s entry of a Consent Order imposing the following sanctions:
| 1. | Equity 4 U shall immediately cease and desist from engaging in the business of money transmission without a license in this state, in violation of Section 36a-597 of the Connecticut General Statues, and engaging in the business of debt adjustment without a license in this state, in violation of Section 36a-656 of the Connecticut General Statutes; and |
| 2. | No later than the date this Consent Order is executed by Equity 4 U, it shall remit to the Department of Banking by wire transfer or by cashier’s check, certified check or money order, made payable to “Treasurer, State of Connecticut”, the sum of Fifty Thousand Dollars ($50,000) as a civil penalty. |
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 Equity 4 U based upon the allegations set forth herein; provided that issuance of this Consent Order is without prejudice to the right of the Commissioner to take enforcement action against Equity 4 U 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 Equity 4 U and reflected herein is subsequently discovered to be untrue; |
| 3. | Upon issuance of this Consent Order by the Commissioner, and so long as Equity 4 U complies with the terms of this Consent Order, nothing in the issuance of this Consent Order shall adversely affect the ability of Equity 4 U to apply for or obtain initial or renewal licenses under Part V of Chapter 668, Sections 36a-595 et seq., of the Connecticut General Statutes, and Sections 36a-655 et seq., of the Connecticut General Statutes under Part II of Chapter 669 of the Connecticut General Statutes, provided all applicable requirements for such licenses are satisfied; and |
| 4. | This Consent Order shall become final when issued. |
Issued at Hartford, Connecticut
this 15th day of April 2016. ______/s/__________
Jorge L. Perez
Banking Commissioner
I, Mike Hull, state on behalf of Equity 4 U, Inc., 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 Equity 4 U, Inc.; that Equity 4 U, Inc., agrees freely and without threat or coercion of any kind to comply with the sanctions entered and terms and conditions ordered herein; and that Equity 4 U, Inc., 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: Mike Hull
Title:
Equity 4 U. Inc.
State of: Missouri
County of: Barton
On this the 8 day of April 2016, before me, Lynne Shupe, the undersigned officer, personally appeared Mike Hull who acknowledged himself/herself to be the President of Equity 4 U, Inc., a corporation, and that he/she as such ________________, being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the corporation by himself/herself as ________________.
In witness whereof I hereunto set my hand.
__________/s/___________
Notary Public
Date Commission Expires: 5/22/2017