Arkansas Regulator Sues California Outfit For Illegally Targeting State Homeowners For Loan Modifications

In Little Rock, Arkansas, ArkansasBusiness.com reports:

• Avoid doing business with 21st Century Legal Services Inc., Arkansas Securities Commissioner A. Heath Abshure warned Thursday, after taking the company to court.
  The Rancho Cucamonga, Calif., company promises mortgage loan modification services to people in foreclosure or in danger of foreclosure. The Securities Department issued a cease-and-desist order against the company and two of its agents, Sandy Ayala and Michael Herried, on June 24.

• A continuing investigation on whether the company was still defrauding Arkansas consumers found it was soliciting money after the cease-and-desist order. On Wednesday, Abshure filed a complaint in Pulaski County Circuit Court seeking temporary and permanent injunctions against 21st Century Legal Services as well as monetary fines. On Thursday, the court issued a temporary injunction prohibiting the company from engaging in any mortgage loan activity.

For more, see Securities Chief Files Complaint Against 21st Century Legal Services.

For more on this case from the Arkansas Securities Commissioner, see:

• Temporary Injunction,
• Press Release.