McGraw settles with debt collection firms Legal News Line
CHARLESTON, W.Va. (Legal Newsline) - Two New York-based debt collection firms have agreed to cease collecting debts without a license in West Virginia as part of a settlement reached by West Virginia Attorney General Darrell McGraw.The firms also have agreed to issue more than $11,000 in refunds and cancelled debts to West Virginia customers, and make a $5,000 payment to the State.
The agreement was reached with two affiliated collection agencies, Northtown Capital Associates Inc. and Interstate Check Systems Inc., both based in Amherst, N.Y.
McGraw's office began investigating Northtown and Interstate, both owned by Joseph H. Elias, after receiving a complaint that the companies were collecting debts in West Virginia without a license and surety bond as required by the state Tax Department.
According to McGraw's office, Northtown and Interstate were attempting to collect debts allegedly owed to an Internet payday lender, Payday Yes, which had previously
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