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 named “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 to your regulations for the State of Nevada. PayDay runs a string of economic 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 stores that are retail-affiliated.
PayDay is into the business of providing deferred deposit loans to customers. These loans are little, short term loans that want payment within a reasonably small amount 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 before the consumerвЂ™s next payday, or a single or period that is two-week thus the word “payday” loan. PayDay individuals are charged fees that are annual average 360% associated with financial obligation principal.
Fleetingly 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 which he ended up being supplying 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 had been investors that are seeking purchase to boost money of $2,000,000 for PayDay. Pursuant to LвЂ™HoirвЂ™s investment scheme, investors get an email and wthhold the option of retiring this note so long as ninety daysвЂ™ notice is offered.
By page dated, the Maine resident who was simply solicited by LвЂ™Hoir, had written towards the Securities Division to advise of LвЂ™HoirвЂ™s solicitation and supplied the Securities Division because of the package delivered by LвЂ™Hoir.
Due to becoming alert to this solicitation, the Securities Division had written 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 really is illegal for anybody to offer or provide to offer any safety in Maine unless the protection is registered, or even the safety or deal is exempt from enrollment beneath the Act. The Securities Division further notified LвЂ™Hoir that it’s additionally illegal underneath the Act to transact company in Maine being a broker-dealer or 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 experience of an offer and purchase of securities constitute fraudulence beneath the Act.
The securities Division requested LвЂ™Hoir to review his records and provide the Securities Division with a list of all Maine residents with whom LвЂ™Hoir has had contact at any time in connection with the offer or sale of PayDay notes in this letter.
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 didn’t answer the Securities DivisionвЂ™s page dated. In specific, LвЂ™Hoir has did not give you the Securities Division with a listing of all Maine residents with who LвЂ™Hoir has received contact relating to the offer or purchase 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 with all the expectation that the investors will get a return to their monies as being a total outcome of purchasing PayDay comprises a good investment agreement. A good investment agreement is really 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 perhaps is a federal covered safety under 32 M.R.S.A. В§10401.
The Securities Division does not have any record that PayDay securities have already been registered for offer or purchase in Maine. Additionally, the Securities Division is certainly not conscious of any exemption that is applicable enrollment for which PayDay securities might qualify, nor would be the securities federal covered securities.
It’s illegal for just about any individual to transact company in Maine as being 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 being a broker-dealer in Maine.
Its illegal for just about any individual to transact company in Maine being 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 being a sales agent in Maine and it’s also perhaps 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