Florida AG Shuts Down Tampa-Area Foreclosure Rescue Operator; Accused Of Taking Upfront Fees In Violation Of New Law

From the Florida Attorney General's Office:

• Attorney General Bill McCollum [Tuesday] announced that his Economic Crimes Division has reached a settlement with a Tampa business engaged in foreclosure rescue services over allegations the conduct violated the newly enacted Foreclosure Fraud Protection Act.(1) Attorney Debt Services, LLC, which conducted business under the name HomeKeeper USA, will cease its operations until it is able to fully comply with the law. Additionally, it will pay $10,000 to the Attorney General's Seniors vs. Crime program.

• A four-week investigation by the Economic Crimes Division revealed Attorney Debt Services was allegedly providing foreclosure rescue services to homeowners who were in various stages of the foreclosure process. The company allegedly offered, for an advance fee, to assist consumers in arranging an alternative payment plan with the homeowners' lender for the purpose of avoiding foreclosure.

For more, see Foreclosure Rescue Company Shut Down for Fraud (First company closed under Attorney General's new foreclosure rescue fraud prevention law).

Go here for the the settlement agreement between the Florida AG and Attorney Debt Services, LLC, dba HomeKeeper USA and James T. Pappas.

(1) Florida Statute Sec. 501.1377.