WASHINGTON (Legal Newsline) —
The Federal Trade Commission (FTC) announced Jan. 11 that Damian Kutzner, who
allegedly helped operate a mortgage relief scheme that duped consumers and
stole millions, has agreed to a court order banning him from the debt relief business.
The FTC had filed charges in
May 2016 against Kutzner and four other attorneys who operated the company
Brookstone and Advantis Law. According to the FTC, the operators defrauded
consumers by promising “at least $75,000” through “mass joinder” lawsuits. None of the consumers, however, ever received the promised mortgage
relief, the FTC argued. In another action, the FTC charged Kutzner with
violating a 2003 FTC court order against him.
The stipulated order bars
Kutzner from providing certain financial products and services and making
misrepresentations about certain products and services. Kutzner is also the
subject of an $18.3 million judgment. According to the FTC, this figure
represents the amount of consumer harm for which he is responsible.
The FTC voted 3-0 to approve
the stipulated final order, which was entered by the U.S. District Court for
the Central District of California on Jan. 9.