U.S. brings charges in first criminal case for consumer agency

[srican69]

Source: Rueters

NEW YORK | Tue May 7, 2013 2:38pm EDT
(Reuters) - Federal authorities announced fraud charges against a debt settlement company on Tuesday, in the first criminal case based on work by the new Consumer Financial Protection Bureau.

A newly unsealed indictment filed in District Court in Manhattan charged Mission Settlement Agency and four individuals with mail and wire fraud over a scheme that prosecutors said victimized more than 1,200 people across the United States.

Manhattan Attorney Preet Bharara suggested the case would not be the only one arising out of ongoing investigations related to the debt settlement industry. Based on the results so far, "our concern is that predatory practices pervade the industry," he said.

Read more: http://www.reuters.com/article/2013/05/07/us-cfpb-criminal-idUSBRE9460LO20130507

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One down - many to go.

[NRaleighLiberal]

1. just listen to AM radio for an hour - vast majority of ads are snake oil or scams.

[srican69]

2. personally - I would like to CFPB go after all the get rich quick schemes that push

penny stocks using promotions... the stock usually has a rally before going bust where a lot of naive folks are left hanging.

[pipoman]

3. I'm usually not too hot on new law enforcement agencies..

if this one keeps on these types of cases and doesn't result in massive over-reaches, it may clean up some of the predators out there..

[Yavin4]

4. Thank you President Obama for creating the CFPB n/t

[ConcernedCanuk]

5. Too little too late methinks

.
.
.

Shoulda done this a century ago.

this what I call a "token" gesture.

Go after the military industrial complex and big pharma - -

I might get impressed.

CC

[bvar22]

6. These are "Penny Ante" Hucksters,

and the Consumer Financial Protection Bureau needs to set their sights higher and use their limited resources catching Bigger Game.

Still I applaud this effort,

and will be watching.

Hopefully, this is just a trial run with the training wheels still attached,
and they are already preparing cases against the Billion Dollar Fraudsters on Wall Street
who feed off of the corpses of our Working Class.

[fasttense]

8. Exactly what I was thinking.

Notice they aren't looking at the libor rigging scandal, ICAP Treasure Island price fixing or anything big.

[bvar22]

9. I'm praying that they ARE "looking at" those things,

and we won't "hear" about it until indictments are filed.
If they aren't, and they are ONLY going after the street corner hustlers,
then we have been SCAMMED.........again.

[Wednesdays]

7. K & R