AG Stein Announces Settlement of Lawsuit against Firm for Illegal Debt Relief Scheme
RALEIGH, NC (March 9, 2017)…AG Josh Stein today announced that a court ruled in the AG office’s favor against an illegal debt relief scheme. Orion Processing, Swift Rock Financial, and World Law South – which did business under the name “World Law” — falsely offered to assist consumers with debt relief and requested advance payment of fees for their services. This activity is illegal in North Carolina.
World Law claimed to help consumers resolve their credit card debts through settlements with consumers’ creditors, but very rarely did. In addition, World Law falsely told consumers that it was a law firm and that local attorneys would represent consumers if they were sued by their creditors. In fact, the company was not a law firm and did not have attorneys to represent consumers. At least 1,400 customers in North Carolina have paid World Law more than $8.5 million for debt settlement services since 2010. Less than 13 percent of those funds were used to pay the consumers’ creditors.
“Consumers in financial distress need real assistance from debt relief companies,” said AG Stein. “Scamming vulnerable people, who are trying to better their financial situation, is not only wrong it is illegal. As we mark Consumer Protection Week, I’m proud to announce this ruling that protects North Carolina’s consumers. My office is here to help prevent scams and stop the scammers who cheat people out of their money.”
The Court’s ruling permanently bars Swift Rock, Haskins, Orion Processing, LLC, World Law South and Scott from advertising or performing any debt relief services, legal services or any related services in North Carolina. The Court also entered final judgments against Orion Processing, LLC, Swift Rock Financial, Inc., World Law South, Inc. and Bradley Haskins in the amount of $3.1 million, and assessed civil penalties against each of them for $6 million. A defendant, Derin Scott, agreed to a suspended assessment of $2.5 million in civil penalties if he violates the Court’s order. This case, which was brought jointly with the North Carolina State Bar, was officially closed on Wednesday. Under an earlier court order in the case, North Carolina consumers received refunds of more than $3.5 million that was being held in their World Law accounts.
Click here to view the Amended Complaint.