Ny Attorney General Letitia James announced yesterday that she had been suing three vendor advance loan businesses for presumably loaning cash to small enterprises at вЂњastronomically high rates of interest,вЂќ re re charging undisclosed fees, withdrawing вЂњexcess amountsвЂќ from consumersвЂ™ bank records and extracting cash judgements from organizations by filing false affidavits in court.
Three businesses, Richmond Capital Group , Ram Capital Funding and Viceroy Capital Funding , had been called within the lawsuit filed in Manhattan Supreme Court on Wednesday. The suit, which lead from an 18 investigation refers to them collectively as вЂњthe Richmond organizations. monthвЂќ The lawyer general also alleges that Ram and Richmond had been вЂњharassing and threatening merchants with physical violence and appropriate action, so as to force them to cover from the loans.вЂќ
The Federal Trade Commission additionally filed a lawsuit that is separate the Richmond businesses in federal court on Wednesday, for вЂњmaking misrepresentations concerning its lending options, unfairly utilizing confessions of judgment, making unjust collection threats, and making unauthorized withdrawals from merchantsвЂ™ bank reports.вЂќ