NYS shuts down ‘predatory’ debt collector in Getzville

New York Attorney General Letitia James and the Consumer Financial Protection Bureau shut down what they described as a predatory Getzville-based debt collection operation.

In a written statement, the attorney general’s office said the operation, conducted under several different company names, was trying to collect debts from about 293,000 consumers, generating gross revenue of about $93 million between 2015. and 2020.

The operation “falsely threatened consumers with dire consequences if they failed to pay, inflated the actual amount of debts owed, and reached out to consumers’ friends, family members and employers to harass consumers,” the authorities said. authorities.

The action announced Monday resolves an earlier lawsuit brought by the AG and the CFPB against the operation for its illegal and misleading tactics. Owners Christopher DiRe, Scott Croce and Susan Croce, and managers Brian Koziel and Marc Gracie, must now pay $4 million in damages and penalties. They have also been permanently banned from the debt collection industry.

The state said the companies were named JPL Recovery Solutions; Regency One Capital; ROC Asset Solutions, which operates as API Recovery Solutions and Northern Information Services; Check Security Associates, which does business as Warner Location Services, Pinnacle Location Services and Orchard Payment Processing Systems; Keystone Recovery Group; and Blue Street Asset Partners.

Consumers can submit complaints about debt collection activities, or about financial products or services, by visiting the CFPB website or calling (855) 411-CFPB (2372).

WBFO’s Marian Hetherly contributed to this story.

Tana T. Thorsen