Debt collector must pay $1.3M in damages

As previously reported on Bankruptcy Law Network and Credit law Network, Attorney General Bill McCollum has recently begun cracking down on debt collectors that operate in the State of Florida.

The AG’s office found that Ellis Crosby & Associates has employed illegal collection tactics, such as posing as law enforcement and threatening to seize debtor’s property.

Of the $1.3 million award, $388,000 will be paid to consumers injured by the illegal activity. The remainder of the award is a combination of fines and investigation expenses.

In a statement, McCollum said, “This case should put similar operations on notice that the penalties for such deceptive business practices can be very costly,” McCollum said. “Florida authorities will not tolerate unscrupulous individuals who victimize our citizens in potentially difficult financial situations.”

Last July, in a separate lawsuit, McCollum alleged Jacksonville-based Bass Prelitigation Services, Inc. and its related company Jackson Philips & Associates, as well as the owners of both, Frank and Evelyn Jackson, seeking penalties, restitution and a permanently enjoin the parties from engaging in future collection businesses. That case is ongoing.