FTC Stops Illegal Mortgage Services Phone Calls

Two companies and their principals have agreed to settle Federal Trade Commission charges that they violated the FTC’s Telemarketing Sales Rule (TSR) by calling telephone numbers listed on the National Do Not Call Registry and failing to pay the required fee for access to numbers listed on the Registry.
At the FTC’s request, the U. S. Department of Justice filed a complaint in federal court, alleging that on or after October 17, 2003, USA Home Loans Inc., a mortgage services company, and telemarketer USA First Investment Group Inc., violated the TSR while marketing mortgage products and services, including originating and refinancing home loans. According to the FTC’s complaint, USA Home Loans made calls to consumers, and, on its behalf, USA First Investment Group made calls to pre-qualify consumers for USA Home Loans offerings.
The settlement includes a $426,782 civil penalty against USA Home Loans Inc. and its owner, David Vach, which is suspended except for $35,000, contingent upon the accuracy and completeness of their financial statements, and an $85,356 civil penalty against USA First Investment Group Inc. and its principals, Richard Burnham and Vincent Piccione, which is suspended, contingent upon the accuracy and completeness of their financial statements. The defendants, all from Maryland, also are permanently prohibited from further TSR violations.
By a 5-0 vote, the Commission referred the matter to the U. S. Department of Justice for filing in federal court. The stipulated judgment and order for permanent injunction was filed in the U.S. District Court for the District of Maryland on October 31. ... FTC.gov