PHILADELPHIA, PA – The Office of Attorney General and the Federal Trade Commission have secured a victory against International Credit Recovery, Inc. (ICR), officer Richard Diorio Jr., and manager Cynthia Powell, after the three agreed to a permanent ban from the debt collection industry. This follows charges of bogus debt collection efforts against businesses and non-profits in a telemarketing scheme run by American Future Systems, Inc., which operates as Progressive Business Publications and the Center for Education and Employment Law.
According to allegations, ICR collected debts based on false assertions from AFS that organizations, such as non-profit organizations, schools, and fire and police departments, owed subscription fees. In its debt collection activities, ICR allegedly contacted consumers that it knew or had reason to know did not agree to order paid subscriptions. ICR also allegedly used false or unsubstantiated representations to try to get consumers to pay and illegally threatened consumers if they did not pay.
As part of the court order, the defendants are permanently banned from the debt collection industry and required to cooperate since the case will continue against the other defendants, AFS, Progressive Business Publications of New Jersey, Inc., and Edward Satell.
“This agreement ensures Pennsylvanians will be protected from these callous defendants that preyed on emergency-responder and not-for-profit organizations to fulfill their selfish greed,” said Attorney General Michelle Henry.
“We’re proud to work with our partners in Pennsylvania to hold them accountable,” added Samuel Levine, Director of the FTC’s Bureau of Consumer Protection.