Debt Collection Firm to Pay $50 Million in Fines

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ALBANY, New York—The CFPB and New York Attorney General have filed settled with a debt collection group for violating the Consumer Financial Protection Act and Fair Debt Collection Practices Act, as well as New York laws related to collecting consumer debt.

Under the settlement, Douglas MacKinnon and his companies Northern Resolution Group, LLC, and Enhanced Acquisitions, LLC, will pay $40 million in redress to consumers and $10 million civil money penalties to both the CFPB and New York, and are banned from the industry. In addition, Mark Gray and his company – created and operated with MacKinnon – Delray Capital, LLC, are banned from the industry and will have a judgment for civil money penalties and redress will be entered against them.

"The complaint alleged that since at least 2009, the companies together purchased millions of dollars' worth of consumer debt, inflated those consumer debts, and relied on illegal tactics to extract as much money as possible from consumers for their debts," a statement from the Bureau said.

Section: Standard
Word Count: 223
Copyright Holder: CUToday.info
Copyright Year: 2019
Is Based On:
URL: http://www.cutoday.info/Fresh-Today/Debt-Collection-Firm-to-Pay-50-Million-in-Fines