DENVER (Legal Newsline) - Colorado Attorney General John Suthers announced on Tuesday that his state has secured a court order barring a Denver-based debt collection agency and its CEO from engaging in the unlicensed collection of debt in Colorado.
Additionally, Regent Asset Management Solutions Inc. and Michael Scata must pay the state $70,000 in civil penalties for alleged violations of the Colorado Consumer Protection Act.
The preliminary injunction enjoins Regent, its officers, directors and employees from engaging, directly or indirectly, in consumer debt collection or otherwise acting as a collection agency without a license or otherwise committing any of the acts, conduct, transactions or violations described in the state's complaint or otherwise violating the Fair Debt Collection Practices Act, and from engaging in deceptive trade practices in the course of their business activities in violation of the CCPA.
The order is the result a lawsuit Suthers' office filed against Regent Asset Management Solutions and its CEO in December alleging that the company collected debts from Colorado consumers after its license expired in July 2010. Suthers' office also alleged that the company did not provide consumers with evidence of the debts it was attempting to collect.
As a result of these alleged activities, consumers were left with little to no information on how to determine the accuracy of their debts.