Department of Financial Institutions Enters into a Settlement Agreement with Sonali Exchange Co. Inc.
San Francisco - California Department of Financial Institutions (DFI) Acting Commissioner Michael A. Kelley announced today that he has entered into a Settlement Agreement with Sonali Exchange Co. Inc. ("Sonali"), a licensed money transmitter. Sonali received a license from DFI on February 6, 1998, to engage in business as a money transmitter pursuant to Financial Code Chapter 14 (Section 1800).
"Maintaining the integrity of financial services remains our primary mission," said Acting Commissioner Kelley. Effective enforcement of laws and regulations ensure that California's financial institutions continue to be symbols of security and soundness."
DFI and Sonali mutually agreed to enter into the Settlement Agreement ("Agreement") in recognition of their common goals to ensure safety and soundness and compliance with applicable laws, rules and regulations.
The Agreement was based on an investigation by DFI's Examinations and Legal Divisions. Sonali has paid $5,000 to the Department, and the Acting Commissioner has agreed to release Sonali from any further liability resulting from alleged violations of the California Financial Code related to the use of unapproved receipts and untimely and incomplete reporting.
DFI supervises over 700 financial institutions with assets totaling over $290 billion. The Department is responsible for administering state laws regulating state-licensed financial institutions: banks, credit unions, industrial banks, savings associations, trust companies, offices of foreign banks, issuers of travelers' checks and payment instruments (money orders), and transmitters of money abroad. DFI reports to Business, Transportation & Housing Agency Secretary Sunne Wright McPeak and Gov. Arnold Schwarzenegger.