State Worker Busted for ‘Police Discount’

The new chief of the state Securities Division apparently takes a tough stance against fraud.

Earlier this month, he busted another employee of the state Regulation and Licensing Department for allegedly trying to cheat — not on state business, but on a restaurant bill.

Daniel S. Tanaka, who on Tuesday was appointed by Gov. Susana Martinez as director of the Securities Division, cited Kirk Sorensen for “impersonating an officer” April 11 at the Souper Salad at 2428 Cerrillos Road in Santa Fe.

Sorensen is a mortgage examiner for RLD’s Financial Institutions Division. According to a criminal complaint filed by Tanaka in Magistrate Court, Sorensen flashed his mortgage examiner badge at the restaurant and identified himself as a police officer to an assistant manager “in order that he might obtain a ‘police discount.’ ”

“I have reviewed defendant’s personnel file and he is not a peace officer,” wrote Tanaka, a senior special agent and law enforcement officer with the Securities Division at the time.

The complaint says Sorensen pretended to be a police officer “with the intent to deceive another person and thereby derive an unlawful financial benefit.”

Email and phone messages to Sorensen and his attorney listed on court records were not returned Tuesday afternoon.

The court complaint also says Sorensen is known to Tanaka because Sorensen “is the subject of an internal affairs investigation.”

In response to Journal questions, RLD Superintendent J. Dee Dennis Jr. released a statement saying Sorensen “is on paid leave pending the outcome of our investigation into this matter and other conduct.” Dennis said he couldn’t say more on the conduct that is under investigation.

In March, Gov. Martinez fired the former Financial Institutions Division director, William J. Verant, who had served as the state’s top bank regulator for 16 years.

Scott Darnell, Martinez’s spokesman, said at the time: “Issues of misconduct were present, for which two employees have been placed on administrative leave and an investigation is ongoing. In order to ensure that the investigation is not compromised, we’re unable to say anything further at this point.”

Dennis also said Tuesday when asked about Sorensen: “In the wake of this incident, and other investigations we have adopted a zero-tolerance policy toward abuse of our regulatory authority or power, potential conflicts of interest and misconduct.

“As public servants we’re held to higher moral and ethical standards. We have no room in this agency for those who violate the public trust and confidence placed in us.”

A news release from Dennis on Tanaka’s appointment to run the Securities Division describes him as “a seasoned law enforcement official” who “has extensive experience in successfully managing the most complex and difficult white-collar criminal investigations.”

“He will be a great asset to this agency as we aggressively pursue white-collar financial crimes, especially against our elderly and senior citizens,” Dennis said.

Tanaka began his law enforcement career in New York City, investigating high-level public corruption and fraud cases. He’s been with the Securities Division since September 2008.

The Securities Division investigates fraud and financial abuse by licensed securities broker/dealers, financial advisers and other investment professionals, and registers certain securities offered in New Mexico.