Attorney General Shapiro Announces A win in Case against Investment company involving “Rent-a-Tribe” Payday Lending Scheme
HARRISBURG — In a crucial ruling involving a loan provider and investment company accused of “renting” indigenous American tribes for a quick payday loan scheme in Pennsylvania, Attorney General Josh Shapiro announced today a federal judge has permitted the core of the lawsuit filed because of the Attorney General to maneuver ahead.
The Attorney General’s lawsuit alleges that Victory Park Capital Advisors LLC, invested and took part in a scheme with Think Finance Inc. to shield it self from state and federal legislation by running underneath the guise of an indigenous United states tribe as well as a federally-chartered bank. U.S. District Judge J. Curtis Joyner has rejected almost all of a denied nearly all of a protection movement to dismiss the lawsuit, ensuring the instance will installment loans bad credit continue.
“These defendants utilized an indigenous us tribe as a front side to evade state customer protection regulations and fee greater pay day loan rates of interest than permitted under Pennsylvania law,” Attorney General Shapiro said. “We filed suit to carry them accountable, we’re pleased with all the court’s ruling, and today our instance moves forward.”
Victory Park argued that given that it had no real tie to Pennsylvania and all sorts of those activities it participated in occurred outside Pennsylvania, the court had no jurisdiction while the claims must certanly be dismissed. Read More