CFPB Files Suit Against Credit Repair Partner To Compel Subpoena Compliance

The Consumer Financial Protection Bureau has filed a lawsuit against a partner of credit repaid company Progrexion Marketing, Inc., accusing the partner of refusing to comply with subpoena and provide documents requested by the agency.

A copy of the complaint in the case of CFPB v. OLP.com, Inc., can be accessed by clicking here.

The CFPB filed suit against Progrexion in May 2019, accusing it of violating the Telemarketing Sales Rule and the Consumer Financial Protection Act when selling and marketing credit repair services because it knew that the partners it was using to refer business were engaging in deceptive or unlawful marketing activities.

OLP.com was one of the “hotswap” partners that transferred “thousands of consumers” to Progrexion every year for more than a decade, according to the complaint. To date, OLP.com has provided just 24 documents in response to the CFPB’s subpoena, and is using “boilerplate and unsubstantiated objections” to keep it from producing more of the requested information.

Not only has OLP.com refused to comply with the subpoena, the CFPB alleges, but it has also failed to provide adequate reasons why it should comply, according to the complaint. Those objections include a “general privilege objection and a general objection that the requested format of certain unspecified documents would ‘impose an unreasonable burden
on the Company’ — without identifying how,” the CFPB alleges.

The defendant has “rebuffed” every attempt made by the CFPB to discuss the burden of complying with the subpoena in greater detail, the Bureau alleges in its complaint, which was filed in the District Court for the Northern District of Florida, Tallahassee Division.

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