LITTLE ROCK — Arkansas Attorney General Leslie Rutledge filed a consumer-protection lawsuit in federal court Tuesday against Florida-based Capital Credit Solutions Inc. and Willie J. McKenzie for multiple false and misleading representations made to Arkansans in order to urge them to purchase credit repair services, according to a news release issued by Rutledge's office.
The lawsuit alleges that Capital Credit Solutions is in violation of the Federal Credit Repair Organizations Act, Arkansas Deceptive Trade Practices Act and the Arkansas Credit Services Organizations Act.
“When Arkansans are seeking to improve their credit, they are seeking real solutions, not bogus and disingenuous tactics,” Rutledge says in the release. “The only real path to improve bad credit is time and diligent attention to eliminating credit balances. Arkansans should not be subjected to the illegal business practices of the defendants.”
The primary business practice of Capital Credit Solutions is the furnishing of credit repair services to improve the credit history, credit score and credit ratings of consumers, according to the attorney general. However, Rutledge accused the defendants of claiming they can improve credit by removing negative, but accurate information, which cannot be legally removed.
Rutledge said Capital Credit Solutions also promotes their services by illegally placing signs with unapproved language in locations where permission has not been granted. Common locations include gas stations, convenience stores, strip malls and intersections adjacent to busy roadways.
The lawsuit asks the U.S. District Court, Eastern District of Arkansas to impose civil penalties, restitution for the affected consumers, attorneys’ fees, costs and other relief against the defendants.