STATE OF MAINE SECURITIES DIVISION 121 STATE HOME FACILITY AUGUSTA, ME 04333
IN RE David Elliot L’Hoir, PayDay Today! U.S.A. Inc. and PayDay Today! U.S.A. Com, Inc.
NOTICE OF INTENT TO ISSUE CEASE AND DESIST PURCHASE 01-073
David Elliot LвЂ™Hoir (hereinafter known as “LвЂ™Hoir”) may be the creator and current President and Rhode Island online payday loans direct lender Chief Executive Officer of PayDay Today! U.S.A. Inc. and PayDay Today! U.S.A. Com, Inc. (hereinafter collectively referred to as “PayDay”). PayDay is incorporated pursuant to your regulations for the State of Nevada. PayDay runs a string of monetary facilities in Southern Ca and contains a loan that is national center in Fort Lauderdale, Florida. PayDay operates through an internet website target. and advertises it self as having retail-affiliated stores nationwide.
PayDay is into the continuing business of providing deferred deposit loans to customers. These loans are tiny, short term loans that want payment within a fairly short duration of time period. The consumer provides PayDay with a personal check and receives cash less the interest and fees charged by PayDay in a payDay loan transaction. The check will be held for the scheduled duration of the time, generally speaking through to the consumerвЂ™s next payday, or a single or two-week duration, ergo the word “payday” loan. PayDay individuals are charged yearly charges that typical 360% associated with the financial obligation principal.
Briefly thereafter, this Maine resident received within the mail a package of investment product associated with PayDay. In this material, LвЂ™Hoir represented he had been providing a “4% month-to-month return collateralized by receivable (Customer Checks)” in substitution for at least investment in PayDay of $10,000. LвЂ™Hoir further represented which he had been investors that are seeking purchase to improve money of $2,000,000 for PayDay. Pursuant to LвЂ™HoirвЂ™s investment scheme, investors get an email and wthhold the choice of retiring this note so long as ninety daysвЂ™ notice is offered.
By page dated, the Maine resident who had previously been solicited by LвЂ™Hoir, had written to your Securities Division to advise of LвЂ™HoirвЂ™s solicitation and provided the Securities Division utilizing the package delivered by LвЂ™Hoir.
The securities Division wrote to LвЂ™Hoir by letter dated April 30, 2001 notifying him that, pursuant to the Revised Maine Securities Act, 32 M.R.S.A. 10101 et seq as a result of becoming aware of this solicitation. (“the Act”), its illegal for anybody to market or provide to offer any safety in Maine unless the protection is registered, or perhaps the safety or deal is exempt from enrollment beneath the Act. The Securities Division further notified LвЂ™Hoir that it’s additionally illegal beneath the Act to transact company in Maine as a broker-dealer or product product sales agent unless exempt or licensed from certification. also, the Securities Division notified LвЂ™Hoir that misrepresentations and omissions of product reality produced in reference to an offer and purchase of securities constitute fraudulence underneath the Act.
In this page, the Securities Division requested LвЂ™Hoir to examine their records and offer the Securities Division with a summary of all Maine residents with who LвЂ™Hoir has received contact whenever you want regarding the the offer or purchase of PayDay records.
Also, the Securities Division notified LвЂ™Hoir that, he should cease soliciting sales of PayDay notes until he complied with Maine law.
LвЂ™Hoir has did not react to the Securities DivisionвЂ™s page dated. In specific, LвЂ™Hoir has did not give you the Securities Division with a summary of all Maine residents with who LвЂ™Hoir has already established contact relating to the offer or purchase of PayDay records or an assurance which he will stop soliciting Maine residents for product sales of PayDay records.
The solicitation and pooling of investorsвЂ™ monies with all the expectation that the investors will get a return to their monies as being results of buying PayDay comprises a good investment agreement. A good investment contract is a protection under 32 M.R.S.A. В§10501 (18).
It really is illegal to provide or offer any safety in Maine unless the safety is registered, is exempt from enrollment or is a federal covered protection under 32 M.R.S.A. В§10401.
The Securities Division does not have any record that PayDay securities have already been registered for sale or offer in Maine. Additionally, the Securities Division just isn’t alert to any exemption that is applicable enrollment which is why PayDay securities might qualify, nor will be the securities federal covered securities.
It really is illegal for just about any individual to transact company in Maine as a broker-dealer in Maine unless the broker-dealer is certified or exempt from licensing under 32 M.R.S.A. В§10301(2). The Securities Division doesn’t have record that either LвЂ™Hoir or PayDay is certified as a broker-dealer in Maine.
It’s illegal for just about any individual to transact company in Maine as being a product sales agent unless certified or exempt from licensing under 32 M.R.S.A. В§10301 (2). The Securities Division does not have any record that LвЂ™Hoir is certified as a sales agent in Maine which is maybe perhaps maybe not alert to any relevant exemption from certification which is why he may qualify.
Pursuant to 32 M.R.S.A. В§10708, notice is hereby considering that the Securities Administrator intends to issue A purchase to Cease and Desist pursuant to 32 M.R.S.A. В§10602(1)(A) against LвЂ™Hoir and PayDay to prohibit further violations regarding the Revised Maine Securities Act.
Pursuant to 32 M.R.S.A. В§ 10708(2), LвЂ™Hoir and PayDay have actually thirty (30) calendar times through the entry with this Notice of Intent to register a written ask for a hearing.
Christine A. Bruenn ________________________________
Christine A. Bruenn Securities Administrator