PHOENIX – Attorney General Mark Brnovich filed a civil lawsuit against CashCall, Inc., its owner, J. Paul Reddam, and a wholly owned subsidiary, WS Funding LLC, for alleged violations of the Arizona Consumer Fraud Act.
The State alleges the defendants participated in a coordinated scheme to market, fund, service, and collect payments on high-interest, illegal loans to Arizona consumers utilizing a sham loan program that disguised the fact that the loans were void under Arizona law and violated Arizona usury laws.
“My office is committed to protecting Arizona consumers from deceptive lending practices,” said Attorney General Mark Brnovich. “While every week is consumer protection week at the Arizona Attorney General’s Office, this filing underscores my office’s continued fight and vigilance to hold companies accountable for unlawful practices perpetrated against Arizona consumers.”
The complaint alleges that CashCall unlawfully collected millions of dollars from Arizona consumers through its lending scheme, which featured interest ranging from an annual rate of 89% to 169%, greatly exceeding that allowed under Arizona law. Among other things, the State’s complaint seeks restitution for Arizona consumers who were harmed from their participation in the CashCall loan program.
Full copy of the filed complaint.
Senior Litigation Counsel Shane Foster is handling this case.
Arizona Consumer Protection Week (March 3-9) is held in conjunction with National Consumer Protection Week, a nationwide campaign aimed at consumer protection and fighting fraud.
If you believe you have been a victim of consumer fraud, please contact the Arizona Attorney General’s Office in Phoenix at (602) 542-5763, in Tucson at (520) 628-6648, or outside the metro areas at 1(800) 352-8431. Bilingual consumer protection staff is available to assist. Consumers can also file complaints online.