A federal judge has ordered Rumson, Bolling & Associates, a debt collection agency, to cease operations and stop abusing consumers.  The federal order also froze the companies assets.  A court-appointed receiver will take over the day-to-day operations of the business while the Federal Trade Commission (FTC) prosecutes the company for scamming consumers.  The FTC’s complaint alleged that the defendants collected debts:

  • harassed and abused consumers by threatening physical harm and death to them and their pets, threatened to desecrate the bodies of deceased relatives, and used obscene and profane language;
  • improperly revealed consumers’ debts to third parties, such as the consumers’ employers, co-workers, neighbors, and family members;
  • falsely threatened consumers with lawsuits, arrest, seizure of their assets, or wage garnishment; and
  • falsely claimed that consumers would be liable for legal fees incurred in the collection of the debt.

According to the FTC complaint, using the slogan “no recovery, no fee,” the defendants promised small businesses and other potential clients that they would collect debts on contingency, charging a fee only when they successfully collected a debt. But in many cases, the defendants allegedly collected money from consumers on a client’s behalf and then kept more than they were entitled to, sometimes keeping all the money for themselves, instead of forwarding what was owed to the client. In some cases, the defendants asked clients for additional fees, purportedly for legal expenses in filing a lawsuit that would “guarantee” the successful collection of a debt. Many clients paid these fees, but the defendants failed to file the promised lawsuits and the clients never received any money in satisfaction of the debt in question.

For consumer information about dealing with debt collectors, see Your Rights Under the Fair Debt Collection Practices Act.   To order a free information book about your rights, contact us.

The complaint names as defendants Forensic Case Management Services, Inc. (doing business as Rumson, Bolling & Associates, FCMS, Inc., Commercial Recovery Solutions, Inc., and Commercial Investigations, Inc.), Specialized Recovery, Inc. (doing business as Joseph, Steven & Associates and Specialized Debt Recovery), Commercial Receivables Acquisition, Inc. (doing business as Commercial Recovery Authority, Inc. and The Forwarding Company), David M. Hynes II, James Hynes, Kevin Medley, Heather True, Frank E. Lindstrom, Jr., and Lorena Quiroz-Hynes.

To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357).  Or, check out our YouTube Channel to learn how file a complaint with the FTC.