WHEREAS, the Banking Commissioner (“Commissioner”) is charged with the administration of Part II of Chapter 669, Sections 36a-655 to 36a-671e, inclusive, of the Connecticut General Statutes, “Debt Adjusters and Debt Negotiation”;

WHEREAS, CareOne is a Maryland corporation that is currently licensed as a debt adjuster under Sections 36a-655 to 36a-665 of the Connecticut General Statutes;

WHEREAS, on August 4, 2011, CareOne filed with the Commissioner an application to engage and offer to engage in debt negotiation in this state (“Application”), which Application is currently pending;

WHEREAS, on August 20, 2012, the Commissioner, through the Consumer Credit Division of the Department of Banking, conducted an examination pursuant to Section 36a-17(a) of the 2012 Supplement to the General Statutes into the activities of CareOne 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 examination, the Commissioner alleges that CareOne engaged and offered to engage in debt negotiation in this state without the required license, in violation of Section 36a-671 of the Connecticut General Statutes and Section 36a-671 of the 2012 Supplement to the General Statutes;

WHEREAS, the Commissioner believes that such allegation would support initiation of enforcement proceedings against CareOne, including proceedings to:  (a) issue a cease and desist order against CareOne pursuant to Section 36a-671a(b) of the 2012 Supplement to the General Statutes and Section 36a-52(a) of the Connecticut General Statutes, and (b) impose a civil penalty on CareOne pursuant to Section 36a-671a(b) of the 2012 Supplement to the General Statutes and Section 36a-50(a) of the Connecticut General Statutes, as amended by Public Act 12-96;

WHEREAS, initiation of such enforcement proceedings would constitute a “contested case” within the meaning of Section 4-166(2) of the Connecticut 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, both the Commissioner and CareOne acknowledge the possible consequences of formal administrative proceedings;

WHEREAS, in order to resolve this matter, CareOne voluntarily agrees to consent to the entry of this Consent Order without admitting any allegation contained herein and solely for the purpose of obviating the need for formal administrative proceedings concerning the allegation contained herein;

WHEREAS, CareOne represents that:  (1) it has established written policies and procedures to administer and distinguish its debt adjustment and debt negotiation services in Connecticut; (2) such policies and procedures have been reasonably designed to achieve compliance with applicable laws and regulations; and (3) it will adhere to such policies and procedures when offering and providing debt adjustment and debt negotiation services to Connecticut residents in the future;

AND WHEREAS, CareOne, through its execution of this Consent Order, voluntarily agrees to waive its procedural rights, including a right to notice and an opportunity for hearing as it pertains to the allegation 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, CareOne, through its execution of this Consent Order, consents to the Commissioner’s entry of a Consent Order imposing the following sanctions:

NOW THEREFORE, the Commissioner enters the following:

Dated at Hartford, Connecticut
this 17th day of December 2012.         ________/s/_________
                                                     Howard F. Pitkin
                                                     Banking Commissioner

I, John Mill, state on behalf of CareOne Services, Inc. d/b/a CareOne, 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 CareOne Services, Inc. d/b/a CareOne; that CareOne Services, Inc. d/b/a CareOne, agrees freely and without threat or coercion of any kind to comply with the provisions of this Consent Order; and that CareOne Services, Inc. d/b/a CareOne, 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:  John Mill
                                                   Title:  CFO
                                                   CareOne Services, Inc. d/b/a CareOne
                                                   
                                                   

State of:  Maryland    
                                
County of:  Baltimore

On this the 13th day of December 2012, before me, Sherry L. Spiker, the undersigned officer, personally appeared John Mill who acknowledged himself/herself to be the CFO of CareOne Services, Inc. d/b/a CareOne, a corporation and that he/she as such CFO, 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 John Mill.

In witness whereof I hereunto set my hand.

Administrative Orders and Settlements