Debt Settlement Firm Pleads Guilty in First CFPB Referral

April 8, 2014
Reuters 
In the first criminal case referred to U.S. prosecutors by the Consumer Financial Protection Bureau, Michael Levitis and his debt settlement firm Mission Settlement Agency pleaded guilty in Manhattan federal court to conspiracy charges of mail and wire fraud. In U.S. vs. Mission Settlement Agency, prosecutors accuse the firm of victimizing more than 1,200 people nationwide from 2009 to 2013 by charging them excessive fees while failing to help them reduce credit card and other debt.

As part of the plea agreement, Levitis -- who faces up to 10 years behind bars -- and the company will forfeit $2.2 million. The company faces another fine of as much as $4.39 million. Guilty pleas were issued by four other former Mission employees, and charges against a fifth are pending.









Abstract News © Copyright 2008-2013 INFORMATION, INC.
Powered by Information, Inc.

Stay Updated

Join the fight against predatory lending. Enter your e-mail to sign up for breaking news, action alerts, and CRL's original research.

   Please leave this field empty
  

Help Us End Predatory Lending

Predatory lending destroys family wealth, and preys on our most vulnerable communities. You can help us end abusive lending practices by donating to CRL, or by sharing our work with others.



`