The U.S. District Court for the District of Colorado has entered a stipulated interim order in the matter of FTC v. Debt-Set, et al. The FTC’s complaint against the defendants, announced on March 27, 2007, alleges that, in the course of selling debt reduction programs, the defendants make deceptive misrepresentations to consumers concerning the amount of debt reduction and fees involved in their programs, and whether consumers who enroll in these programs will be harassed or sued by their creditors. A temporary restraining order, issued on March 22, 2007, expired when the court issued the Stipulated Interim Order on April 4, 2007.
The interim order, which can be found on the FTC’s Web site as a link to this press release, requires the defendants to – among other things – refrain from misrepresenting the benefits, fees, or likely or expected outcome of participation in the defendants’ programs. The order also appointed a monitor to supervise all activities, assets, and financial transactions of the corporate defendants. (FTC file no. 0623140, Civ. No. 07-CV-00558 RPM).
Copies of the documents mentioned in this release are available from the FTC’s Web site at http://www.ftc.gov and from the FTC’s Consumer Response Center, Room 130, 600 Pennsylvania Avenue, N.W., Washington, DC 20580. Call toll-free: 1-877-FTC-HELP.