U.S. District Judge Sentences New York Man for Fraudulent Debt Collection Scheme
Defendant fraudulently collected debts that did not exist, among other offenses, in New York.
10/10/2018 10:00 AM
U.S. District Judge Richard Arcara in the U.S. District Court for the Western District of New York on Tuesday sentenced Shawn Sylvia, of Buffalo, N.Y., to 62 months in prison for conspiracy to commit wire fraud in connection with a fraudulent debt collection scheme.
According to a news release from the U.S. Attorney’s Office in the Western District of New York, Sylvia collected on non-existent debts as well as accounts that had been paid in full.
Sylvia, or other individuals he managed, contacted eight consumers by phone purporting to be from various companies under the names American Mutual Holdings (AMH); Check Systems, LLC; Interstate Recovery Solutions; Apex Resolution Group; Interstate Check Registry; Miller and Flemming and Associates (MFA); Pasquale and Associates LLC; Checking Solutions; or Aries Resolution Group, according to the news release. As a result, they fraudulently collected $342,303.
Sylvia and other defendants used threats of arrest, jail and lawsuits to collect payments, according to the news release. Read more on the charges from the attorney’s office here.
Sylvia is ordered to pay $283,851 in restitution.
When there are admissible facts evidencing egregious conduct, ACA International supports law enforcement efforts to target bad actors, stop illegitimate debt collection activity, and safeguard consumer rights by removing known violators from the financial marketplace. ACA has worked consistently with the Federal Trade Commission and other regulators to help them understand the complex issues that legitimate debt collectors face, and takes pride in its frequent and varied industry compliance educational services and offerings in support of the overwhelming majority of legitimate debt collectors who operate lawfully, take consumer protection seriously and play a unique and much-needed role in our credit-based economy.
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