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NELSON NOREN EHINGER, JR. * * * * * * * * * * * * * * * * * |
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CONSENT ORDER No. CO-09-7567-S |
PRELIMINARY STATEMENT
CONSENT TO WAIVER OF PROCEDURAL RIGHTS
WHEREAS, Ehinger, through his execution of this Consent Order, voluntarily waives the following rights:
1. | To receive prior written notice within the meaning of Sections 36b-15(f), 36b-27(a), 36b-27(d) and 4-177(b) of the Connecticut General Statutes; |
2. | To present evidence and argument and to otherwise avail himself of Section 4-177c(a) of the Connecticut General Statutes; |
3. | To present his position in a hearing in which he is represented by counsel; |
4. | To have a written record of the hearing made and a written decision issued by a hearing officer; and |
5. | To seek judicial review of, or otherwise challenge or contest, the matters described herein, including the validity of this Consent Order. |
FINDINGS OF THE COMMISSIONER AS TO EVIDENTIARY SUFFICIENCY TO INITIATE ADMINISTRATIVE PROCEEDINGS
WHEREAS, the Commissioner finds that, based on the following, which Ehinger admits, sufficient grounds would exist to initiate administrative proceedings 1) under Sections 36b-15(a)(2)(B), 36b-15(a)(2)(H) and 36b-15(a)(2)(L) of the Act to revoke or suspend Ehinger’s broker-dealer agent and/or investment adviser agent registration under the Act or to restrict or impose conditions on the securities activities that Ehinger may perform in this state; and/or 2) proceedings under Section 36b-27 of the Act seeking the entry of an order to cease and desist and/or an order imposing an administrative fine of up to $100,000 per violation against Ehinger:
1. | Ehinger, while associated with Infinex, engaged in dishonest or unethical practices in the securities business within the meaning of Section 36b-15(a)(2)(H) of the Act and Sections 36b-31-15b(a)(8) and 36b-31-15a(a)(5) of the Regulations by executing transactions on behalf of a customer without authority to do so, although he still maintains he had implied authority; |
2. | Ehinger, while associated with Infinex, engaged in dishonest or unethical practices in the securities business within the meaning of Section 36b-15(a)(2)(H) of the Act by creating and submitting to his employing firm a document that was false and misleading with respect to whether securities transactions in a customer’s account were authorized; and |
3. | In connection with an investigation conducted by the Division, Ehinger violated Section 36b-23 of the Act by making oral statements that were, at the time and in the light of the circumstances under which they were made, materially false or misleading; |
CONSENT TO ENTRY OF SANCTIONS
WHEREAS, Ehinger, through his execution of this Consent Order, consent to the Commissioner’s entry of a Consent Order imposing on him the following sanctions:
1. | Upon the entry of this Consent Order by the Commissioner, Ehinger’s registrations as a broker-dealer agent and as an investment adviser agent in Connecticut shall be SUSPENDED for a period of thirty (30) consecutive days; |
2. | Ehinger shall cease and desist from engaging in conduct constituting or which would constitute a violation of the Act or any regulation or order under the Act; and |
3. | No later than the date this Consent Order is entered by the Commissioner, Ehinger shall remit to the Department of Banking, by cashier’s check, certified check or money order made payable to “Treasurer, State of Connecticut”, the sum of Twelve Thousand Five Hundred Dollars ($12,500), representing the following: (a) Ten Thousand Dollars ($10,000) of such amount shall constitute an administrative fine; and (b) Two Thousand Five Hundred Dollars ($2,500) of such amount shall be applied to defray the Division’s investigative costs; |
CONSENT ORDER
NOW THEREFORE, the Commissioner enters the following:
1. | The Sanctions set forth above be and are hereby entered; |
2. | Entry of this Consent Order by the Commissioner is without prejudice to the right of the Commissioner to take enforcement action against Ehinger 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 Ehinger and reflected herein is subsequently discovered to be untrue; and |
3. | This Consent Order shall become final when entered. |
________/s/_________
Howard F. Pitkin
Banking Commissioner
this 7th day of August 2009.
CONSENT TO ENTRY OF ORDER
I, Nelson Noren Ehinger, Jr., 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 terms and conditions stated herein; and that I voluntarily consent to the entry of this Consent Order, expressly waiving any right to a hearing on the matters described herein.
________/s/_______________
Nelson Noren Ehinger, Jr.
On this the 5th day of August 2009, before me, the undersigned officer, personally appeared Nelson Noren Ehinger, Jr., 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/Commissioner of the Superior Court
Date Commission Expires: 4/30/2010