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IN THE MATTER OF: COLLECT PROS, LLC ("Collect Pros") |
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CONSENT ORDER |
WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part XII of Chapter 669, Sections 36a-800 to 36a-814, inclusive, of the Connecticut General Statutes, “Consumer Collection Agencies”, and the regulations promulgated thereunder, Sections 36a-809-6 to 36a-809-17, inclusive, of the Regulations of Connecticut State Agencies (“Regulations”);
WHEREAS, Collect Pros, LLC (“Collect Pros”) was a limited liability company organized under the laws of Nevada with an office located at 12924 Pierce Street, #101, Pacoima, California;
WHEREAS, on December 23, 2015, Collect Pros submitted an application to obtain a consumer collection agency license in Connecticut with the Commissioner (“Application”) on the Nationwide Multistate Licensing System and Registry (“NMLS”);
WHEREAS, Michael Allan Ross identified himself as the manager and control person of Collect Pros in its Application;
WHEREAS, the Commissioner, through the Consumer Credit Division of the Department of Banking, upon receipt of the Application, conducted an investigation pursuant to Sections 36a-17 and 36a-801(c) of the Connecticut General Statutes into the activities of Collect Pros to determine if it had violated, was violating or was about to violate the provisions of the Connecticut General Statutes and Regulations within the jurisdiction of the Commissioner;
WHEREAS, on April 11, 2017, as a result of such investigation, the Commissioner issued a Notice of Intent to Issue Order to Cease and Desist, Notice of Intent to Impose Civil Penalty and Notice of Right to Hearing (“Notice”) against Collect Pros, which Notice is incorporated herein by reference;
WHEREAS, the Commissioner alleged in the Notice that Collect Pros acted as a consumer collection agency in Connecticut without the requisite license, in violation of Section 36a-801(a) of the Connecticut General Statutes;
WHEREAS, on April 12, 2017, the Notice was sent by certified mail, return receipt requested, to Collect Pros (certified mail no. 70151520000018249078), and to its registered agent (certified mail no. 70151520000018249085);
WHEREAS, on April 17, 2017, Collect Pros and its registered agent received the Notice, and on April 19, 2017, Collect Pros, through its counsel, requested a hearing on the Notice, which hearing is currently subject to an open-ended continuance;
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, on December 22, 2016, Collect Pros submitted a withdrawal request of its Application on NMLS;
WHEREAS, on or about February 28, 2017, Collect Pros filed articles of dissolution with the Nevada Secretary of State;
WHEREAS, the Commissioner, Collect Pros and Ross now desire to resolve the matters alleged in the Notice and set forth herein;
WHEREAS, the Commissioner, Collect Pros and Ross acknowledge the possible consequences of formal administrative proceedings, and Collect Pros and Ross each voluntarily agree to consent to the entry of the sanctions imposed below without admitting or denying the allegation set forth in the Notice and set forth herein, and solely for the purpose of obviating the need for formal administrative proceedings concerning the allegation contained in the Notice and set forth herein;
WHEREAS, Collect Pros specifically assures the Commissioner that the violation alleged herein shall not occur in the future, and that it will not act as a consumer collection agency in Connecticut without licensure by the Commissioner;
WHEREAS, Collect Pros and Ross acknowledge that this Consent Order is a public record and is a reportable event for the purposes of NMLS, as applicable;
AND WHEREAS, Collect Pros and Ross, through their execution of this Consent Order, voluntarily agree to waive their respective procedural rights, including the right to a notice and an opportunity for a hearing as it pertains to the allegation contained in the Notice and set forth herein, and voluntarily waive their respective rights to seek judicial review or otherwise challenge or contest the validity of this Consent Order.
CONSENT TO ENTRY OF SANCTIONS
| 1. | Collect Pros shall immediately cease and desist from acting as a consumer collection agency in Connecticut without a license, in violation of Section 36a-801(a) of the Connecticut General Statutes. |
| 2. |
Upon issuance of this Consent Order by the Commissioner, Ross shall be BARRED from
acting as a manager, owner, supervisor or any other control person for any consumer collection agency acting in Connecticut for a period of three (3) years. However, this sanction shall not prevent Ross from acting as a consultant for any consumer collection agency acting in Connecticut during the aforementioned three (3) year period provided that such consultancy precludes Mr. Ross from managerial, ownership, or supervisory roles, or authority as a control person. |
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 Collect Pros or Ross based upon the allegation contained herein; provided that issuance of this Consent Order is without prejudice to the right of the Commissioner to take enforcement action against Collect Pros or Ross 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 Collect Pros or Ross and reflected herein is subsequently discovered to be untrue. Nothing in this Consent Order shall be construed as limiting the Commissioner’s ability to take enforcement action against Collect Pros or Ross based upon: (a) evidence of which the Division was unware on the date hereof relating to a violation of Part XII of Chapter 669, Sections 36a-800 to 36a-814, inclusive, of the Connecticut General Statutes or any statute or Regulation under the jurisdiction of the Commissioner, or (b) evidence indicating that Collect Pros or Ross withheld information from, or made any misstatement or omission to the Commissioner in connection with this matter; |
| 3. | Subject to the foregoing, and so long as this Consent Order is promptly disclosed by Collect Pros and its control persons on NMLS, as applicable, nothing in the issuance of this Consent Order shall adversely affect the ability of Collect Pros to apply for or obtain licenses or renewal licenses under Part XII of Chapter 669, Sections 36a-800 et seq., of the Connecticut General Statutes, provided all applicable legal requirements for such license are satisfied and the terms of this Consent Order are followed; |
| 4. |
This Consent Order shall become final when issued.
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Issued at Hartford, Connecticut
this 22nd day of June 2017. ______/s/__________
Jorge L. Perez
Banking Commissioner
I, Michael Ross, state on behalf of Collect Pros, LLC 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 Collect Pros, LLC; that Collect Pros, LLC agrees freely and without threat or coercion of any kind to comply with the sanctions entered and terms and conditions ordered herein; and that Collect Pros, LLC 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: Michael Ross
Title: Manager
Collect Pros, LLC
State of: California
County of: Los Angeles
On this the 15th day of June 2017, before me, Y. Ruiz, Notary Public, the undersigned officer, personally appeared Michael Ross who acknowledged himself/herself to be the Manager of Collect Pros, LLC, a member managed/manager managed limited liability company, and that he/she as such Manager, being authorized so to do, executed the foregoing instrument for the purposes therein contained, by signing the name of the limited liability company by himself/herself as Manager.
In witness whereof I hereunto set my hand.
__________/s/___________
Notary Public:
Date Commission Expires: Mar 13, 2021
I, Michael Allan Ross, state that I have read the foregoing Consent Order; that I know and fully understand its contents; that I agree freely and without threat or coercion of any kind to comply with the sanctions of this Consent Order; and that I voluntarily agree to enter into this Consent Order, expressly waiving the procedural rights set forth herein as to the matters described herein.
By: ________/s/___________
Michael Allen Ross
State of: California
County of: Los Angeles
On this the 15th day of May 2017, before me, Y. Ruiz, Notary Public, the undersigned officer, personally appeared Michael Allan Ross, known to me (or satisfactorily proven) to be the person whose name is subscribed to the within instrument and acknowledged that he executed the same for the purposes therein contained.
In witness whereof I hereunto set my hand.
__________/s/___________
Notary Public:
Date Commission Expires: Mar 13, 2021