STATE OF MAINE SECURITIES DIVISION 121 STATE HOME FACILITY AUGUSTA, ME 04333
Today IN RE David Elliot L’Hoir, PayDay! Today U.S.A. Inc. and PayDay! 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 present President and 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 towards the laws and regulations associated with State of Nevada. PayDay runs a string of monetary facilities in Southern Ca and has now a loan that is national center in Fort Lauderdale, Florida. PayDay runs via 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, quick unsecured loans that want payment within a time period that is relatively short. In a quick payday loan transaction, the customer provides PayDay with an individual check and receives cash less the attention and costs charged by PayDay. The check will be held for a scheduled duration of the time, generally speaking before the consumerвЂ™s next payday, or a single or two-week duration, thus the word “payday” loan. PayDay individuals are charged yearly charges that average 360% for the financial obligation principal.
Soon thereafter, this Maine resident received when you look at 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 (client Checks)” in substitution for the absolute minimum investment in PayDay of $10,000. LвЂ™Hoir further represented which he ended up being investors that are seeking purchase to increase money of $2 http://www.autotitleloansplus.com,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 provided.
By page dated, the Maine resident who had previously been solicited by LвЂ™Hoir, penned to your Securities Division to advise of LвЂ™HoirвЂ™s solicitation and supplied the Securities Division using the package delivered by LвЂ™Hoir.
As a consequence of becoming alert to this solicitation, the Securities Division penned to LвЂ™Hoir by page dated April 30, 2001 notifying him that, pursuant towards the Revised Maine Securities Act, 32 M.R.S.A. 10101 et seq. (“the Act”), it’s illegal for anybody to market or provide to offer any safety in Maine unless the safety is registered, or perhaps the safety or deal is exempt from registration beneath the Act. The Securities Division further notified LвЂ™Hoir that it’s also unlawful beneath the Act to transact company in Maine as being a broker-dealer or product product product sales agent unless certified or exempt from certification. Moreover, the Securities Division notified LвЂ™Hoir that misrepresentations and omissions of product reality produced in reference to an offer and purchase of securities constitute fraud beneath the Act.
In this page, the Securities Division requested LвЂ™Hoir to examine their records and offer the Securities Division with a listing of all Maine residents with who LвЂ™Hoir has received contact whenever you want associated with the offer or purchase of PayDay records.
Also, the Securities Division notified LвЂ™Hoir that, until he complied with Maine legislation, he should stop soliciting product sales of PayDay notes.
LвЂ™Hoir has neglected to react to the Securities DivisionвЂ™s page dated. In particular, LвЂ™Hoir has neglected to give you the Securities Division with a listing of all Maine residents with who LвЂ™Hoir has received contact associated with the sale or offer of PayDay records or an assurance which he will stop soliciting Maine residents for product product sales of PayDay records.
The solicitation and pooling of investorsвЂ™ monies using the expectation that the investors will get a return to their monies being a total consequence of buying PayDay comprises a good investment agreement. A good investment agreement is really a safety under 32 M.R.S.A. В§10501 (18).
It really is illegal to provide or offer any safety in Maine unless the protection is registered, is exempt from enrollment or perhaps is a federal security that is covered 32 M.R.S.A. В§10401.
The Securities Division does not have any record that PayDay securities have now been registered for offer or purchase in Maine. Also, the Securities Division is certainly not alert to any relevant exemption from 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 sales agent unless exempt or licensed 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 being a sales agent in Maine which is maybe perhaps maybe perhaps not conscious of 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 promises 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 associated with 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