Online payday lender settles with Florida AG for $28 million

CashCall settlement with Florida AGOn January 12, the Florida Attorney General’s Office announced it had “coordinated settlements with the operators of an online lending scheme.” According to the Florida AG’s press release, the companies involved in the alleged scheme include Western Sky Financial, LLC, CashCall, Inc., WS Funding, LLC, Delbert Services Corporation and John Paul Reddam, the President, CEO and owner of CashCall.

CA Supreme Ct Ruling: Tribal sovereign immunity does not bar payday enforcement action

Recently, the California Supreme Court ruled that a pair of tribally-affiliated entities operating online payday lending businesses failed to demonstrate that they were entitled to tribal sovereign immunity. In The People of the State of California v. Miami Nation Enterprises, et al., the California Supreme Court reversed an appellate court decision which affirmed the trial court’s decision to dismiss state enforcement action based upon the defendants’ tribal sovereign immunity claim.

CFPB enters into consent order for $125K with Arizona title lender

In September, the CFPB filed individual administrative lawsuits against five Arizona auto title lenders for deceptive online advertising practices. On December 20, the CFPB entered into a consent order with one of those lenders. Presto Auto Loans, Inc., an auto title lender operating in the State of Arizona, settled the charges by agreeing to pay a civil money penalty of $125,000 to the CFPB’s Civil Penalty Fund.