Carter seeks injunction against Michigan mortgage broker
INDIANAPOLIS (Legal Newsline) -- Indiana Attorney General Steve Carter has filed a lawsuit seeking an injunction and restitution against a Michigan-based mortgage broker that he said deceptively offered mortgage services to Indiana residents.
Union Financial Services, Inc. allegedly violated the state Deceptive Consumer Sales Act by sending letters to at least 17 residents, claiming their property tax bills were not paid and tax liens were being placed on their properties.
Union Financial then offered to help the residents pay off the liens, receive additional cash and pay off credit card debt through home equity loans.
Carter's investigation found the property taxes had already been paid or had not yet come due. There also were no liens on any of the residences.
"This company used false statements and advertising to prey on residents of Delaware and Steuben Counties," Carter said. "Actions like this one will act as a reminder that any company will be held responsible when it attempts to deceive Indiana homeowners."
Carter is seeking $5,500 in civil penalties for each act and reimbursement for the state's costs.