North Carolina Orders Sigue Corp. to Cease Money Transmission Activities

NC COBS News & Research

Filed March 22nd, 2024

Detected March 18th, 2026

Summary

The North Carolina Office of the Commissioner of Banks has ordered Sigue Corp. to cease money transmission activities within the state due to its declining financial condition. This action, coordinated with 39 other states, Puerto Rico, and the District of Columbia, aims to protect consumers who have outstanding money orders and transmissions.

View original document View source feed page

What changed

The North Carolina Office of the Commissioner of Banks (NCCOB) has issued a consent order directing Sigue Corp., a licensed money transmitter, to immediately cease all money transmission activities within North Carolina. This action stems from Sigue Corp.'s significant financial deterioration, including its failure to complete multiple money orders and transmissions, maintain adequate net worth, and preserve permissible investments to cover outstanding liabilities, all in violation of state money transmission laws. The order also requires Sigue Corp. to preserve all records related to impacted customers, which will be used by states to file bond claims on behalf of consumers awaiting their funds.

This order has immediate operational implications for Sigue Corp., requiring it to halt all money transmission services in North Carolina. Regulated entities and compliance officers should be aware that this action is part of a multi-state coordinated effort, indicating potential scrutiny on other money transmitters facing financial instability. Consumers impacted by Sigue Corp.'s failures are advised to contact the NCCOB for information on the state surety bond claim process, which is designed to help recover lost funds. The NCCOB has provided a contact phone number and email address for affected customers.

What to do next

Cease all money transmission activities in North Carolina.
Preserve and provide access to all books and records, including customer information.
Cooperate with state bond claim processes for impacted customers.

Penalties

Consumers may be able to recover funds through state surety bond claims.

Source document (simplified)

North Carolina Office of the Commissioner of Banks NEWS RELEASE KATHERINE M.R. BOSKEN COMMISSIONER OF BANKS RELEASE: IMMEDIATE DATE: MARCH 22, 2024 CONTACT: SALLY-ANN GUPTA DISTRIBUTION: STATEWIDE PHONE: 919/733-3016 The North Carolina Office of the Commissioner of Banks Orders Sigue Corp. to Cease Money Transmission Activities Sigue Corp. Failed to Satisfy Outstanding Money Transmission Liabilities, Violating State Law [Raleigh, NC] — Today, the North Carolina Office of the Commissioner of Banks ordered Sigue Corp. to cease engaging in money transmission activities in the State as the company can no longer responsibly serve customers due to its declining financial position. Thirty-nine states, Puerto Rico, and the District of Columbia coordinated to issue this consent order. Sigue is a state-regulated money transmission company licensed in North Carolina and 48 other states (NMLS ID 915912). Over the past several months, Sigue experienced significant financial deterioration. The company failed to complete multiple money orders and transmissions, to maintain adequate net worth, and to maintain permissible investments to cover outstanding liabilities, all violations of state money transmission law. Many customers are still waiting for their funds. The consent order requires the company to preserve and provide access to all books and records, including information on impacted customers. States will use the company's signed declarations to file bond claims on behalf of impacted customers. The state surety bond claim process is designed to help make impacted consumers whole. Consumers who have been impacted or believe they may have been impacted should contact the agency by phone at (919) 733-3016 or send your questions via e-mail to moneytransmitters@nccob.gov.

The NCCOB is responsible for the chartering and regulation of North Carolina's state banks, savings institutions, and nondepository trust companies. It also regulates other financial services firms and individuals operating in North Carolina, including mortgage brokers, mortgage lenders, mortgage servicers, mortgage loan originators, mortgage origination support registrants, check cashers, consumer finance companies, money transmitters, and refund anticipation loan facilitators. The NCCOB is funded by industry fees and assessments and not taxpayer dollars. 316 W. Edenton Street, Raleigh, North Carolina 27603 919/733-3016 Telefax: 919/733-6918