Every year the FTC brings hundreds of cases against individuals and companies for violating consumer protection and competition laws that the agency enforces. These cases can involve fraud, scams, identity theft, false advertising, privacy violations, anti-competitive behavior and more. The Legal Library has detailed information about cases we have brought in federal court or through our internal administrative process, called an adjudicative proceeding.
Stark Law, LLC d/b/a Stark Recovery
The Federal Trade Commission and the Office of the Illinois Attorney General are sending payments totaling more than $4 million to more than 10,000 consumers who lost money to the Stark Law phantom debt collection scheme.
According a suit filed by the FTC and the Illinois Attorney General, Stark Law used a host of business names to target consumers who obtained or applied for payday or other short-term loans, pressuring them into paying debts they either did not owe or that the defendants had no authority to collect. The defendants allegedly called consumers and demanded immediate payment for supposedly delinquent loans, at times threatening consumers with lawsuits or arrest, falsely claiming they would be charged with “defrauding a financial institution” or “passing a bad check.”