Facts

The Federal Trade Commission filed a complaint for permanent injunction and other equitable relief against First Time Credit Solution Corp. dba FTC Credit Solutions etc., Guillermo Leyes, and others for alleged violations of the Federal Trade Commission Act and the Credit Repair Organizations Act.

PLAINTIFF'S CONTENTIONS:
Defendants allegedly violated those Acts by targeting Spanish-speaking customers and making false promises to repair their credit all while posing as the FTC. Defendants allegedly promised unwitting persons that they could improve their credit scores, even guaranteeing credit scores of 700 or above, within six months or less. Defendants also allegedly represented themselves as being affiliated with the FTC.

Result

Leyes agreed to enter into a consent judgment with the FTC. Under the agreement, Leyes was permanently enjoined from advertising, marketing, or promoting or assisting anyone in such action regarding Credit Repair Services. Leyes also agreed to pay $2.4 million as part of the settlement.

Other Information

The district court later entered a default judgment in favor of the FTC against First Time Credit Solutions, thereby banning it from, among other things, directly or indirectly marketing or otherwise promoting Credit Repair Services. FILING DATE: March 16, 2015.