Consumer Protection Mission
Civil Contempt Actions
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Title |
Number |
Action Date |
Type of Matter |
Product/Service |
| Clear Your Credit, Inc. | X960101 | 3/25/97 | Telemarketing Sales Rule; Fair Credit Reporting Act | Credit Repair |
| Digital Interactive Associates, Inc. | X950039 | 9/26/97 | Telemarketing Fraud | Interactive Video and Data Service |
Clear Your Credit, Inc.; Keith Berggren
The Commission obtained an agreement with Keith Berggren and the credit repair company through which he did business, settling civil contempt of court charges for violating a 1996 consent order. The Commission alleged that Berggren and the company continued to misrepresent that they could remove negative information about bankruptcies and automobile repossessions from consumers' credit reports, although the 1996 order included a permanent injunction against such deceptive credit repair claims. The current order permanently bars the defendants from doing any business in connection with credit improvement services. Berggren is also required to notify clients that they do not have to pay any amounts still owed on contracts entered into after April 12, 1996.
Digital Interactive Associates, Inc.; Terry K. Vickery
The court granted the Commission's motion for civil contempt against two defendants in this high-tech investment fraud case involving the telemarketing of interests in general partnerships. The court found that the defendants had failed to send a disclosure document to prospective investors and to advise them of the death of a managing partner, in violation of a preliminary injunction obtained by the Commission. The court required the defendants to offer refunds, totaling up to $3.5 million, to approximately 340 investors. The court also found that the defendants had discarded documents in violation of the preliminary injunction. The ruling is on appeal to the Tenth Circuit Court of Appeals.
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