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R & R WEALTH STRATEGIES, LLC * * * * * * * * * * * * * * * * * * |
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STIPULATION AND
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WHEREAS, the Banking Commissioner (the “Commissioner”) is charged with the administration of Chapter 672a of the Connecticut General Statutes, the Connecticut Uniform Securities Act (the “Act”) and Sections 36b-3 1-2 et seq. of the Regulations of Connecticut State Agencies (the “Regulations”) promulgated under the Act;
WHEREAS, R & R Wealth Strategies, LLC (“R&R”) of 90 Grove Street, Ridgefield, Connecticut 06877 has been registered as an investment adviser under the Act since January 4, 2010 and has no reported disciplinary history. The firm has approximately four principals;
WHEREAS, in connection with an examination of R&R, the staff of the Securities and Business Investments Division (“Division”) of the Department of Banking (“Department”) ascertained that in 2014, one of R&R’s principals transacted business as an investment adviser agent while unregistered by soliciting a prospective client and receiving $1,511.79 in related referral fees;
WHEREAS, the individual has since applied for investment adviser agent registration under the Act after being apprised of the Division’s concerns;
WHEREAS, Section 36b-6(c)(3) of the Act provides that: “No investment adviser shall engage an investment adviser agent unless such investment adviser agent is registered under sections 36b-2 to 36b-34, inclusive”;
WHEREAS, violations of Section 36b-6(c) of the Act would support the initiation of administrative proceedings under Sections 36b-15 and 36b-27 of the Act;
WHEREAS, an administrative proceeding initiated under Sections 36b-15 and 36b-27 of the Act would constitute a “contested case” within the meaning of Section 4-166(4) of the General Statutes of Connecticut;
WHEREAS, Section 4-177(c) of the General Statutes of Connecticut and Section 36a-1-55(a) of the Regulations provide that a contested case may be resolved by stipulation or agreed settlement, unless precluded by law;
WHEREAS, R&R desires to settle the matter described herein and, without either admitting or denying the Commissioner’s allegations set forth hereinabove, voluntarily enters into this Stipulation and Agreement, acknowledging that this Stipulation and Agreement is in lieu of any court action or administrative proceeding adjudicating any issue of fact or law on the matter described herein;
WHEREAS, R&R represents, through its execution of this Stipulation and Agreement, that it shall not engage any individual as an investment adviser agent within the meaning of Section 36b-3(12) of the Act unless such individual is effectively registered as an investment adviser agent under the Act;
WHEREAS, R&R expressly consents to the Commissioner’s jurisdiction under the Act and to the terms of this Stipulation and Agreement;
WHEREAS, R&R, through its execution of this Stipulation and Agreement, voluntarily waives any rights it may have to seek judicial review or otherwise challenge or contest the terms and conditions of this Stipulation and Agreement;
AND WHEREAS, R&R specifically assures the Commissioner that none of the violations alleged in this Stipulation and Agreement shall occur in the future.
NOW THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS:
| 1. |
No later than the date this Stipulation and Agreement is executed by the Commissioner, R&R shall remit to the Department by cashier’s check, certified check or money order made payable to “Treasurer, State of Connecticut” the sum of two thousand nine hundred dollars ($2,900), two thousand five hundred dollars ($2,500) of which shall constitute an administrative fine and four hundred dollars ($400) of which shall represent reimbursement for past due investment adviser agent registration fees; |
| 2. |
R&R, its officers, directors, representatives, agents, employees, affiliates, and successors in interest shall refrain from engaging, directly or indirectly, in conduct constituting or which would constitute a violation of the Act or any regulation or order under the Act; |
| 3. | Execution of this Stipulation and Agreement by the Commissioner is without prejudice to the right of the Commissioner to take enforcement action against R&R based upon a violation of this Stipulation and Agreement or the basis for its entry if the Commissioner determines that compliance is not being observed with the terms of the Stipulation and Agreement or if any representation made by R&R and reflected herein is subsequently determined to be untrue; and |
| 4. | This Stipulation and Agreement shall become binding when executed by R&R and the Commissioner. |
IN WITNESS WHEREOF, the undersigned have executed this Stipulation and Agreement on the dates indicated.
| Dated at Hartford, Connecticut | _____/s/_____________ | |
| this 20th day of April 2018. | Jorge L. Perez | |
| Banking Commissioner |
I, Frank A. Rowella, state on behalf of R & R Wealth Strategies, LLC, that I have read the foregoing Stipulation and Agreement; that I know and fully understand its contents; that I am authorized to execute this Stipulation and Agreement on behalf of R & R Wealth Strategies, LLC; and that R & R Wealth Strategies, LLC agrees freely and without threat or coercion of any kind to comply with the terms and conditions stated herein.
| R & R Wealth Strategies, LLC | ||
| By: | ____/s/__________________ | |
| Frank A. Rowella | ||
| Member |
State of: [Blank in Original]
County of: [Blank in Original]
On this the 30th day of March 2018, before me, the undersigned officer, personally appeared Frank A. Rowella, who acknowledged himself to be the Member of R & R Wealth Strategies, LLC, a Connecticut limited liability company, and that he, as such Member, 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 as Member.
In witness whereof I hereunto set my hand.
____/s/____________________________
Notary Public
Date Commission Expires: Nov. 30, 2020