Ind. AG sues two out-of-state companies
CROWN POINT, Ind. (Legal Newsline) - Indiana Attorney General Greg Zoeller announced lawsuits on Tuesday against two credit repair and foreclosure consultant companies for allegedly taking advantage of Lake County consumers.
The Florida-based Marucci Law Firm and the Illinois-based E.A.C. Financial allegedly engaged in illegal operations in Indiana when each company entered into contracts with local individuals. Marucci Law Firm allegedly collected $2,600 and E.A.C. Financial allegedly collected $750 upfront and failed to render services or provide refunds.
"Hoosier homeowners facing foreclosure or financial insecurity are often targets for out-of-state organizations looking to make a profit off of their misfortunes," Zoeller said. "This activity not only preys upon some of our most vulnerable citizens, but often places them in further financial distress. The fact that a law firm is involved is all the more disappointing to me."
The lawsuit alleges that both companies did not obtain certificates of authority from the Secretary of State's office to conduct business in Indiana and did not register $25,000 surety bonds with Zoeller's office. These bonds are required before services, such as collecting money up front, can be performed.
The lawsuit alleges that Marucci and E.A.C. Financial violated the Credit Services Organization Act, Indiana's Deceptive Consumer Sales Act, the Mortgage Rescue Protection Act and the Home Loan Practices Act. Zoeller is seeking injunctions against the companies, civil penalties, attorneys' fees and restitution for the victims.