A settlement reached in a telemarketing fraud lawsuit requires two Largo, FL-based firms to pay a combined $1.4 million in restitution to more than 7,000 consumers, $275,000 in civil penalties and $175,000 in investigation and prosecution costs.
The companies named in the suit, filed in Monterey County, CA Superior Court, are Integrated Credit Solutions (ICS) Inc. and Lighthouse Credit Foundation Inc.
The court said ICS violated state and federal laws that prohibit dissemination of unsolicited prerecorded outbound telemarketing messages, false advertising and unfair business practices. The court also said Lighthouse illegally charged excessive monthly fees.
Consumers who received pre-recorded messages were told they’d been approved by Lighthouse to consolidate credit card payments at a low interest rate, but that they had to call a certain number. Those who responded were connected to ICS, which requested payment of a $38 up-front fee to be referred to Lighthouse. California has a $20 cap on monthly debt-consolidation fees.
Network
