Financial Triangle New York, Inc. - Suspension Order
State of New York Banking Department
In the Matter of
Financial Triangle New York, Inc.
A Registered Mortgage Broker pursuant
- Registrant -
Whereas, Financial Triangle New York, Inc. (“the Registrant”), was granted a registration on March 12, 2002 to engage in business as a mortgage broker pursuant to Article XII-D of the New York Banking Law (the “Banking Law”). Based on the State of New York Banking Department’s (“the Department”) records, the Registrant maintains a principal office at 1741 Alton Road, Miami Beach, FL 33139;
Whereas, Section 591-a of the New York Banking Law specifies that as a condition for the issuance and retention of a mortgage broker’s registration, and subject to such regulations as the superintendent shall prescribe, applicants for a registration shall file with the Superintendent a surety bond or make a deposit in an amount and form prescribed by regulations of the superintendent;
Whereas, Section 410.14 of Part 410 of the Superintendent’s Regulations specifies that every mortgage broker registered pursuant to Banking Law Section 591-a shall file with the Superintendent a corporate surety bond in a principal amount of not less than $10,000 or more than $100,000 based on its number of applications;
Whereas, in accordance with the requirements of Section 410.14 of Part 410 of the Superintendent’s Regulations, the Registrant was required to maintain a corporate surety bond in the amount of $25,000 based on its number of New York State applications;
Whereas, on February 14, 2008, the Department received a letter from Travelers Casualty and Surety Co. of America indicating the cancellation of the Registrant’s $25,000 corporate surety bond effective March 5, 2008;
Whereas, on May 27, 2008, the Department sent a letter to the Registrant informing the Registrant of the requirements that it obtain a replacement bond, or have the cancelled bond reinstated, or place assets on deposit with the Superintendent. On July 18, 2008, July 31, 2008, August 13, 2008 and September 16, 2008 the Banking Department telephoned the Registrant and was advised that a replacement bond would be provided. This action was never completed.
Whereas, on October 10, 2008, the Department sent a letter to the Registrant by certified and regular mail informing the Registrant of the requirement that it obtain a replacement bond, or have the cancelled bond reinstated, or place assets on deposit with the Superintendent.
Whereas,pursuant to Section 595.1(b) of the Banking Law, the Superintendent may revoke a mortgage broker’s registration if it is found that any fact or condition exists which, if it had existed at the time of original application for such registration, would have warranted the Superintendent in refusing originally to issue such registration;
Whereas, pursuant to Section 595.2 of the Banking Law, the Superintendent may on good cause shown, or where there is substantial risk of public harm, suspend the Registrant’s mortgage broker registration for a period not exceeding thirty days, pending investigation;
Whereas, pursuant to Section 595.5 of the Banking Law, the suspension of a mortgage broker registration shall not impair or affect the obligation of any pre-existing lawful contract between Registrant and any person;
Whereas, the Registrant’s failure to maintain the required corporate surety bond or to place assets on deposit constitutes grounds for suspension or revocation of its registration under Sections 595.1(b) and 595.2.
NOW THEREFORE, the Superintendent hereby finds that the Registrant’s mortgage broker registration should be suspended because the Registrant has failed to maintain the required corporate surety bond or to place assets on deposit. Therefore, a substantial risk of public harm exists and/or good cause exists in that the Registrant has defaulted or is likely to default in performing its financial engagements warranting such suspension. Accordingly, the Superintendent hereby immediately suspends the Registrant’s mortgage broker registration for a period not exceeding thirty days from the date of this Suspension Order pending investigation.
Witness, my hand and official seal of the Banking Department at the City of New York, this 7th day of January in the year two thousand nine