West Virginia Attorney General Darrell McGraw announced Monday that his office has filed a lawsuit against a Florida-based collection agency over what it claims are “unlawful, coercive debt collection practices.”
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McGraw’s announcement said that Tampa, Fla.-based Charles Howell & Associates overstepped fair debt collection practices in attempting to collect cell phone debt by suggesting consumers would be arrested if they did not pay. The attorney general said that Howell also threatened to sue consumers that did not pay, a violation of debt collection laws since the firm did not employ attorneys.
The lawsuit seeks a preliminary injunction barring Howell from conducting any debt collection activity in West Virginia until the case can be resolved. Although McGraw’s office did not ask for specific fines or damages, the statement said that lawsuit “asks that the Court eventually order restitution, debt cancellation, and civil penalties.”
McGraw’s office noted that Howell was not cooperative in an investigation.
The attorney general’s office also said that the firm was not licensed to collect debt in West Virginia for at least some of the time it did business in the state.
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Comments
Comment from Anonymous on October 7, 2008 at 1:39PM EST
This company is a joke and gives all us a bad name. I wish they could perm. not allow the owner to run a collection agency.
Comment from Anonymous on October 7, 2008 at 4:53PM EST
These tactics are used by agencies everywhere - when will collectors be required to pass federal certification & lincesing as there seems to be no form of punishment i've been exposed to the worst of the worst and have left the industry due to the rogue nature of the people the business has attracted damn shame
Comment from JN on October 8, 2008 at 9:34AM EST
Desperate times, desperate measures due to unrealistic expectations from clients. That is the true problem for agencies today. Clients still want results that they were getting 7 years ago, as if they don't know about the current economic situation.
Comment from Anonymous on October 25, 2008 at 8:45AM EST
This guy is a bad seed. He owned an agency in Dallas that took millions of dollars from clients and then disappeared. Maybe a national test or some kind of federal test for owners should be in order.