NATIONAL STATE ATTORNEYS GENERAL PROGRAM: CONSUMER PROTECTION REPORT

November 2014

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CONSUMER PROTECTION REPORT: November 1-30, 2014

This newsletter is the thirteenth of a monthly circulation that describes consumer protection activity announced by state attorneys general. This information was gathered solely from attorney general press releases. It

makes no effort to prioritize or analyze the impact of any of these cases and initiatives.

The following press releases are organized by state and multistate activity. In addition, certain Medicaid fraud cases that touch on consumer protection and

advocacy initiatives have been included. If an office would like their activity to be included in subsequent newsletters,

please notify attorneygeneral@law.columbia.edu.

To sign up for the monthly consumer protection report, please click on the link below and enter your contact information. Newsletter sign up: http://stateag.us4.list-

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The National State Attorneys General Program at Columbia Law School is a legal research, education, and policy center that examines the implications of the jurisprudence of state attorneys general. Working closely with attorneys general, academics, and other members of the legal community, the program is active in the development and dissemination of legal information used by state prosecutors in carrying out their civil and criminal responsibilities.

For more information about the National State Attorneys General Program and resources, please visit our website www.stateag.org.

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TABLE OF CONTENTS

CONSUMER PROTECTION CASES, SETTLEMENTS AND ADVOCACY

STATEMENTS ......................................................................................... 5

ARIZONA ........................................................................................................................ 5

ARKANSAS ..................................................................................................................... 5

COLORADO .................................................................................................................... 6

FLORIDA ........................................................................................................................ 7

ILLINOIS ........................................................................................................................ 9

INDIANA ......................................................................................................................... 9

MARYLAND .................................................................................................................. 10

MASSACHUSETTS ........................................................................................................ 11

MICHIGAN ................................................................................................................... 13

MINNESOTA ................................................................................................................. 13

MISSOURI .................................................................................................................... 14

NEVADA ....................................................................................................................... 14

NEW JERSEY ............................................................................................................... 16

NEW YORK ................................................................................................................... 17

NORTH CAROLINA ....................................................................................................... 19

NORTH DAKOTA .......................................................................................................... 20

OHIO ............................................................................................................................ 21

OKLAHOMA ................................................................................................................. 21

TEXAS ......................................................................................................................... 22

VERMONT .................................................................................................................... 22

VIRGINIA ..................................................................................................................... 23

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WISCONSIN .................................................................................................................. 24

MULTISTATE CASES AND SETTLEMENTS ............................................. 25

MEDICAID FRAUD CASES AND SETTLEMENTS ..................................... 27

ARKANSAS ................................................................................................................... 27

FLORIDA ...................................................................................................................... 27

GEORGIA ..................................................................................................................... 28

IDAHO ......................................................................................................................... 29

KANSAS ....................................................................................................................... 30

MARYLAND .................................................................................................................. 31

MASSACHUSETTS ........................................................................................................ 31

MISSISSIPPI ................................................................................................................. 32

MISSOURI .................................................................................................................... 32

NEW YORK ................................................................................................................... 33

PENNSYLVANIA ............................................................................................................ 34

SOUTH DAKOTA .......................................................................................................... 34

CONSUMER ADVOCACY ........................................................................ 36

CALIFORNIA ................................................................................................................ 36

ILLINOIS ...................................................................................................................... 36

MAINE ......................................................................................................................... 37

MICHIGAN ................................................................................................................... 37

NEVADA ....................................................................................................................... 38

NEW YORK ................................................................................................................... 39

NORTH CAROLINA ....................................................................................................... 41

NORTH DAKOTA .......................................................................................................... 41

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OHIO ............................................................................................................................ 42

OKLAHOMA ................................................................................................................. 42

RHODE ISLAND ............................................................................................................ 43

WEST VIRGINIA ........................................................................................................... 43

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CONSUMER PROTECTION CASES, SETTLEMENTS AND

ADVOCACY STATEMENTS

ARIZONA

November 20, 2014

Attorney General Tom Horne Files Lawsuit Against General Motors For

Ignition Switch Defects

Lawsuit Cites Concealment of Critical Safety Defects and Deceptive Vehicle

Sales to Arizona Residents

Attorney General Tom Horne yesterday filed a lawsuit against General Motors,

LLC (GM) on behalf of the State of Arizona that seeks civil penalties, claiming

that the automaker has deliberately endangered Arizona motorists and the

public by intentionally concealing serious safety defects to avoid the cost of

recall and replacement. This is the first action by a State against GM for its

alleged role in suppressing knowledge of defects and not recalling vehicles in a

timely manner. Under the Arizona Consumer Fraud Act, civil penalties can

reach up to $10,000 per violation.

https://www.azag.gov/press-release/attorney-general-tom-horne-files-

lawsuit-against-general-motors-ignition-switch

ARKANSAS

November 10, 2014

Attorney General Dustin McDaniel Sues Seller of ID Cards, ‘Notaria’

Services

Attorney General Dustin McDaniel filed a consumer-protection lawsuit today

against a Pulaski County woman accused of deceptively advertising “notaria”

services and selling ID cards improperly described as legal forms of

identification.

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ARKANSAS CON’T

The lawsuit filed in Pulaski County Circuit Court claims that Micaela

Hernandez of North Little Rock and her business, M. Hernandez

Multiservices, are in violation of the Arkansas Deceptive Trade Practices Act

and the Arkansas Notario Act for unlawful business practices primarily

targeting Spanish-speaking consumers.

M. Hernandez Multiservices sells $70 ID cards advertised as being valid for

four years and legally acceptable as a secondary form of identification.

Additionally, Hernandez promotes services as a notario, although she has

failed to comply with state law that requires notice in both English and

Spanish that she is not a licensed attorney, according to the lawsuit.

http://arkansasag.gov/news-and-consumer-alerts/details/mcdaniel-sues-

seller-of-id-cards-notaria-services

COLORADO

November 6, 2014

Attorney General John Suthers Settles With Three Additional

Foreclosure Law Firms

Attorney General John Suthers today announced civil law enforcement

actions against three additional Colorado foreclosure law firms. The firms are

accused of allegedly inflating foreclosure costs charged to homeowners and

others and charged with violations of the Colorado Consumer Protection Act

and the Colorado Fair Debt Collection Practices Act. Simultaneously, the

Attorney General’s Consumer Protection Section announced it has reached

settlement agreements with the three firms and their principals:

Janeway Law Firm, P.C. and Lynn M. Janeway;

Medved Dale Decker & Deere, LLC; Foothills Title and Escrow, Inc.; Toni

M.N. Dale; Holly L. Decker; and Heather L. Deere; and

Law Office of Michael P. Medved, P.C.; Wise Posts, LLC; Michael P.

Medved; Tracie D. Castanon; Beth A. Maloney; and Patrick R. Maloney.

http://www.coloradoattorneygeneral.gov/press/news/2014/11/06/colorado_

attorney_general_settles_three_additional_foreclosure_law_firms

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FLORIDA

November 19, 2014

Attorney General Bondi and the FTC Shut Down Two Multi-Million-Dollar

Schemes Selling Tech Support Services Attorney General Pam Bondi’s Office and the Federal Trade Commission filed

a complaint against multiple companies operating multi-million dollar schemes to sell tech support services to consumers nationwide, many of

whom are senior citizens. The Court also granted a temporary injunction preventing the businesses from making any false or misleading statements to induce a person to pay for goods or services, charging any consumer for the

purchase of specific products, suspending the websites of the businesses, freezing corporate assets and appointing a receiver. The Delray Police Department and the Palm Beach Sheriff’s Office assisted in executing the

Temporary Restraining Orders.

Inbound Call Experts, Super PC Support and related entities also operated a technical support scam that exploited consumers’ fears of viruses, malware and other security threats to their computers. The defendants allegedly

offered to perform a free “diagnostic” check that falsely claimed infections to consumers’ computers and could only be resolved manually by a technician.

Consumers paid hundreds of dollars for unnecessary repairs, long-term maintenance programs and installations of free or outdated programs. The defendants’ sales have exceeded $100 million.

http://www.myfloridalegal.com/newsrel.nsf/newsreleases/648920D3E9947B2085257D950058C733

November 13, 2014

Attorney General Bondi and the FTC Stop an Orlando-Based Robocalling Operation

Attorney General Pam Bondi’s Office and the Federal Trade Commission today

obtained a permanent injunction against an Orlando-based operation that used pre-recorded telephone calls, known as robocalls, to pitch purportedly free medical alert devices to senior citizens by falsely representing that the

devices had been purchased for them by a relative or friend, violating the FTC Act, the Commission’s Telemarketing Sales Rule and Florida’s Deceptive and

Unfair Trade Practices Act. The defendants also allegedly misled consumers to believe that the devices were endorsed by various health organizations and that they would not be charged anything before the devices were activated.

http://www.myfloridalegal.com/newsrel.nsf/newsreleases/84E9FA2EA901C25885257D8F005A1FAF

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FLORIDA CON’T

November 6, 2014

Attorney General Bondi and the FTC File Suit against Company Preying

on Victims of Fraud

Attorney General Pam Bondi’s Office has filed a lawsuit against Consumer Collection Advocates, Corp., and Michael Robert Ettus, CCA Principal, for

allegedly targeting consumers who were victims of previous frauds or scams. In return for upfront payments and a percentage of any recovery, the company contracted with these victims, guaranteeing to recover the monies

the victims lost as the result of the earlier fraud or scam, but often failing to deliver on that guarantee. The Attorney General’s Office also seeks to obtain

an injunction to stop the business from operating in violation of Florida laws. The Federal Trade Commission has filed a parallel lawsuit against CCA in the U.S. Southern District Court of Florida. The Attorney General’s Office, the

Florida Department of Agriculture and Consumer Affairs and the Better Business Bureau received 115 complaints about the defendants’ business

practices. http://www.myfloridalegal.com/newsrel.nsf/newsreleases/8A1E545F7213B3

F985257D88006F0B8A

November 5, 2014

Attorney General Pam Bondi Sues GSA Applications Company for

Misleading Business Practices Attorney General Pam Bondi’s Office filed a complaint against an Oldsmar,

Florida-based company allegedly misleading small businesses by claiming to

be the U.S. General Services Administration or implying a government

affiliation to offer a five-year GSA contract. The Federal Verification Co, Inc.

dba GSA Applications conducts business through more than 60 business

names and more than 50 websites. The company and manager of the

businesses, James Dale Sprecher, allegedly used telemarketing to solicit small

businesses and guarantee them a GSA contract within a short time frame, 90

days to six months, for an upfront fee ranging typically from $5,000 to

$8,000. A GSA contract allows a business to sell goods and services to the

federal government at pre-negotiated pricing. Attorney General Pam Bondi’s

Office received more than 200 complaints about the defendants’ unfair

business practices.

http://www.myfloridalegal.com/newsrel.nsf/newsreleases/150557BE6B8070

AF85257D87006CAFD3

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ILLINOIS

November 13, 2014

Attorney General Lisa Madigan Sues Unlicensed Belleville Roofer

Attorney General Lisa Madigan today filed a lawsuit against a Belleville man

for operating as an unlicensed roofer and collecting at least $12,000 in

payments from Illinois homeowners for performing shoddy work that did not

fix repairs or, in some cases, failing to do any repair work at all.

http://www.illinoisattorneygeneral.gov/pressroom/2014_11/20141113.html

INDIANA

November 5, 2014

Attorney General Greg Zoeller Files Lawsuit Against Scam Contractors

Preying On Elderly In Indianapolis

Indiana Attorney General Greg Zoeller filed a lawsuit against a group of home

improvement contractors for allegedly scamming senior citizens in the

Indianapolis area into paying for repair projects and then never completing

them.

According to the complaint filed in Marion County court, one such victim paid

upwards of $13,000 over the course of one month this spring for a variety of

projects that were never completed, including landscaping and roofing.

http://www.in.gov/activecalendar/EventList.aspx?fromdate=11/1/2014&tod

ate=11/30/2014&display=Month&type=public&eventidn=192451&view=Even

tDetails&information_id=207477

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MARYLAND

November 12, 2014

Attorney General Gansler Secures Settlement with Verizon Over

Misleading FiOS Offers

Consumers Estimated To Get $1.375 Million In Restitution

Attorney General Douglas F. Gansler announced today that his Consumer

Protection Division has entered into a settlement agreement with Verizon over

allegations that it misrepresented the actual cost consumers were charged to

utilize FiOS television, internet and phone services.

"Verizon's activities when it was rolling out FiOS established it as one of our

office's biggest complaint generators," said Attorney General Gansler. "I'm

pleased that Verizon is changing its marketing practices to accurately reflect

the total cost of its services and that a significant number of consumers will

receive restitution as a result of this agreement."

The settlement follows a wide-ranging investigation of Verizon, including its

alleged failure to deliver promised promotional items to new FiOS customers,

such as free televisions and gift cards; its offer of bundled prices that did not

include the cost to lease equipment necessary to receive the services; its

alleged practice of assessing early termination fees when customers cancelled

after they did not receive what they had been promised; and other issues,

including billing complaints, contract disputes and poor customer service.

Although Verizon denied that it violated any Maryland laws, it agreed to a

settlement that addresses the Division's concerns.

http://www.oag.state.md.us/Press/2014/111214.html

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MASSACHUSETTS

November 13, 2014

Attorney General Martha Coakley Announces Travel Company Owners

and Employees to Pay $200,000 in Restitution for Selling Over-Priced

Vacation Club Memberships

Settlements Resolve AG’s Lawsuit Against Multiple Travel Businesses and

Individuals Involved in Scheme; Hundreds of Consumers in Massachusetts to

Receive Restitution

The owners and former employees of travel companies based in Plymouth and

Methuen have agreed to pay more than $200,000 in restitution to settle

allegations that they sold over-priced vacation club memberships by using

deceptive sales and marketing tactics, Attorney General Martha Coakley

announced today.

“These defendants colluded to persuade consumers to overpay thousands of

dollars for vacation club memberships through a misleading marketing and

sales scheme,” AG Coakley said. “These final judgments will permanently

prohibit these entities from conducting this type of business in

Massachusetts.”

The consent judgments file size 7MB, filed today in Suffolk Superior Court,

concern the sale of memberships for the Outrigger Vacation Club by Charles

Caliri and his company, C&S Marketing, Inc., and Richard Cardillo, Joseph

Lento, Mandred Henry and Richard Ciavola.

http://www.mass.gov/ago/news-and-updates/press-releases/2014/2014-

11-13-fantasia-travel-consent-judgment.html

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MASSACHUSETTS CON’T

November 12, 2014

Attorney General Martha Coakley Announces Former Life Insurance

Agent Indicted for Stealing More Than $275,000 From Nearly Fifty

Customers

Allegedly Used False Documents to Withdraw from Customers Accounts;

Several Victims were Elderly

A former life insurance agent at Prudential Financial, Inc. (Prudential) has

been indicted for stealing more than $275,000 from 49 of her customers,

some of whom were elderly, Attorney General Martha Coakley announced

today. The defendant allegedly used false documents to request withdrawals

from customer accounts, which she then deposited into her own personal

bank accounts.

Susan Abbott, age 55, of Quincy, was indicted on Monday by a Statewide

Grand Jury on five counts of Larceny over $250, including three counts of

Larceny over $250 from a Person over Sixty and one count of Larceny over

$250 by Single Scheme, as well as one count each of Identity Fraud, Forgery,

and Uttering. She will be arraigned in Norfolk Superior Court at a later date.

Prudential referred this matter to the AG’s Office after conducting an initial

internal investigation, which led to Abbott’s termination from Prudential.

Abbott had worked from her own office in Quincy as a Prudential life

insurance agent. Authorities allege that between March 2007 and May 2009

Abbott allegedly stole more than $275,000 from 49 customers and used those

funds for her own personal use.

http://www.mass.gov/ago/news-and-updates/press-releases/2014/2014-

11-12-abbott-indictment.html

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MICHIGAN

November 6, 2014

Attorney General Bill Schuette Announces $747,000 in Restitution for

Southeast Michigan Victims of Mortgage Fraud

Michigan Attorney General Bill Schuette today announced the major

distribution of $747,094 from the State's Foreclosure Scam Restitution Fund

to compensate 36 southeast Michigan victims of mortgage modification fraud

who would otherwise never see a dime of restitution. Victims of the

Nationwide Consulting, LLC mortgage modification scam will now be fully

compensated for money lost.

http://www.michigan.gov/ag/0,4534,7-164-46849_47203-340725--,00.html

MINNESOTA

November 24, 2014

Attorney General Lori Swanson: Compliance Report Questions Financial

Relationship Between Savers’ Retail Stores And Local Charities

Minnesota Attorney General Lori Swanson today issued a Compliance Report

questioning the relationship between Savers retail stores, a billion dollar thrift

store conglomerate, and several local charities, including Vietnam Veterans of

America, the Lupus Foundation of Minnesota, Courage Kenney Foundation,

and True Friends.

Savers, LLC ("Savers"), either on its own or through a subsidiary such as

Apogee Retail, LLC ("Apogee"), offers a “turn key” fundraising operation in

which Savers—using the name of the charity—solicits donations of clothing

and household goods, picks up the donations, sorts the donations, and brings

them to Savers retail stores, where they are sold to the public. In Minnesota,

Savers operates 15 stores under the names Savers, Unique Thrift, and Value

Thrift. It operates 330 thrift stores in the U.S., Canada, and Australia

http://www.ag.state.mn.us/Consumer/PressRelease/20141124saversRetail.

asp

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MINNESOTA CON’T

November 6, 2014

Attorney General Swanson Sues Legal Process Server For Engaging In

"Sewer Service"

Process server falsely claimed that some lawsuits were served on individual

Minnesotans, resulting in judgments against people who did not know they

were sued

Minnesota Attorney General Lori Swanson today filed a lawsuit against TJ Process Service, a Minnesota process serving company, and Jeremy Umland, one of its process servers, for falsely claiming that some individuals were

served with debt collection lawsuits. False certification by a process server that a lawsuit has been served upon a person is often referred to as "sewer

service." http://www.ag.state.mn.us/Consumer/PressRelease/20141106SewerService.asp

MISSOURI

November 17, 2014

Attorney General Koster Obtains Prison Sentence For Contractor Who

Scammed Joplin Tornado Victims --Jeffrey Wolfson Sentenced To Serve 13 Years Attorney General Chris Koster announced that a Jasper County court today

sentenced Jeffrey Wolfson of Osage Beach to serve 13 years in a Missouri prison after a jury found him guilty in June of five felonies and two misdemeanors for scamming three Joplin homeowners following the

devastating May 2011 tornado.

According to Koster, Wolfson operated Insurexx, LLC, a Lebanon, Missouri-based company that offered insurance claim adjusting and home-repair

services to consumers with homes damaged by the Joplin tornado. Wolfson's company acted as an insurance adjuster without first obtaining a Missouri license from the state’s insurance department. He and his company then

accepted insurance proceeds and personal checks from three Joplin homeowners, promising to begin repair work on their homes. Ultimately,

Insurexx never completed the home repairs or returned the homeowners' payments.

http://ago.mo.gov/newsreleases/2014/Attorney_General_Koster_obtains_prison_sentence_for_contractor_who_scammed_Joplin_tornado_victims/

NEVADA

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November 14, 2014

Attorney General Masto Announces Guilty Plea of Las Vegas Man Who

Swindled Several Northern Nevadans in Sham Real Estate Deals

Nevada Attorney General Catherine Cortez-Masto on Friday announced a Las

Vegas man pleaded guilty to mortgage fraud in a case involving defrauding

several Northern Nevadans together of more than $238,000 through elaborate

schemes that included bogus real estate deals with a fictitious wealthy sheikh

and investments in a luxury downtown Reno high rise.

http://ag.nv.gov/News/PR/2014/Miscellaneous/Attorney_General_Masto_An

nounces_Guilty_Plea_of_Las_Vegas_Man_Who_Swindled_Several_Northern_Ne

vadans_in_Sham_Real_Estate_Deals/

November 4, 2014

Attorney General Masto Announces Guilty Plea of Las Vegas Couple In

Connection With Mortgage Lending Fraud

Victims Lost $61K in False Mortgage Elimination Scheme

Nevada Attorney General Catherine Cortez Masto announced that Alex Soria,

68, of Las Vegas and Sonia Rodis, 54, of Las Vegas each pled guilty Monday,

to one count of pattern of mortgage lending fraud, a category “B” felony, in

connection with a mortgage fraud scam that operated under the name

BioGreen Teck, LLC.

http://ag.nv.gov/News/PR/2014/Mortgage/Attorney_General_Masto_Announ

ces_Guilty_Plea_of_Las_Vegas_Couple_In_Connection_With_Mortgage_Lending

_Fraud/

November 3, 2014

Attorney General Masto Announces an $8 Million Charitable

Contribution as Part of a Settlement with Pfizer

Nevada Attorney General Catherine Cortez Masto announced today that her

Office has reached a $9.5 million settlement with Pfizer Inc., to resolve the

State’s lawsuit that Pfizer and Wyeth Pharmaceuticals unlawfully promoted

certain postmenopausal hormone therapy medications and misled Nevada

consumers and physicians about the safety and efficacy of these drugs.

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http://ag.nv.gov/News/PR/2014/Consumer_Protection/Attorney_General_M

asto_Announces_an_$8_Million_Charitable_Contribution_as_Part_of_a_Settle

ment_with_Pfizer/

NEW JERSEY

November 13, 2014

Acting Attorney General John J. Hoffman Announces New Jersey

Division of Consumer Affairs Reaches $300,000 Settlement with

Operators of Multiple North Jersey Furniture Businesses Charged with

Violations of the Consumer Fraud Act

The Office of the Attorney General and the New Jersey Division of Consumer

Affairs have reached a $300,000 settlement with two individuals and the

furniture businesses they operated. The Division filed legal actions against

these individuals and companies for alleged consumer fraud violations,

including failing to deliver merchandise paid for by consumers and not

providing refunds.

In May 2012, the State filed suit in State Superior Court in Union County

against Lev Stanik, of Rahway, and Roman Tyger, of Brooklyn, New York, and

the following businesses they operated: LaFlat, Inc.; LaFlat Group, Inc.;

LaFurniture & Design Ltd.; LaFurniture Corp.; LaFurniture Group, Inc.; and

Tyger Furniture, a/k/a “TG Furniture Group.” Stanik and Tyger also were

involved in furniture sales through multiple internet sites.

http://nj.gov/oag/newsreleases14/pr20141113a.html

November 3, 2014

Acting Attorney General John J. Hoffman Announces Prominent Atlantic

County Lawyer Who Practiced Elder Law Pleads Guilty to Stealing

Millions of Dollars From Clients

Acting Attorney General John J. Hoffman announced that a prominent

Atlantic County, N.J., attorney who specialized in elder law pleaded guilty

today to money laundering, admitting that she defrauded elderly clients of

millions of dollars and laundered the funds through various accounts,

including her attorney trust account. Charges remain pending against the

owner of an in-home senior care company, her sister and a former employee

who allegedly participated in the fraud.

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http://nj.gov/oag/newsreleases14/pr20141103c.html

NEW YORK

November 24 2014

A.G. Schneiderman Announces 1-3 Years Prison Plea Agreement By

President Of Korean Social Service Center For Theft Of Over $200,000

From Immigrants Seeking Affordable Housing

Ock Chul Ha Posed As A Social Worker, Made False Promises Of Low-Income

Housing In Exchange For Thousands Of Dollars In Fees And Took A Plea Of 1-3

Years State Prison And Closure Of His Social Service Center

Attorney General Eric T. Schneiderman today announced the plea of Ock

Chul Ha, President of the Korean Social Service Center, a not-for-profit

organization, for operating a pervasive scam on primarily elderly Korean-

Americans for more than three years. Ha allegedly falsely promised clients –

who came to him for advice regarding Medicare or Social Security – placement

in low-income housing in the city’s coveted 421(a) program. Under the terms

of his plea agreement, Ha will serve 1-3 years in state prison, the Korean

Social Service Center will be shuttered, and victims who cooperated with the

investigation have received restitution judgments in their favor.

http://www.ag.ny.gov/press-release/ag-schneiderman-announces-1-3-years-

prison-plea-agreement-president-korean-social

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NEW YORK CON’T

November 19, 2014

A.G. Schneiderman Shuts Down Unregistered Animal Shelter In Oneida

County

Organization Solicited Funds While Misleading Donors, Helped Few Animals

Attorney General Eric Schneiderman today announced that his office received

an order of the Supreme Court, Oneida County, to permanently shut down

and dissolve Lucky Dog Rescue of Mohawk Valley, Inc. The group illegally

raised funds from the public as a dog rescue shelter for abused, abandoned,

and neglected dogs.

The Attorney General brought the proceeding to dissolve Lucky Dog Rescue

and to enjoin the group, its registered agent Jan Miller, and others acting on

the group’s behalf from the solicitation, receipt and use of donated funds, and

for an accounting of any and all funds received, for restitution and repayment

of funds received by Lucky Dog Rescue, and for the corporation’s dissolution.

Records reviewed during the course of the investigation revealed that

thousands of dollars had been received from the public with few animals

benefiting.

http://www.ag.ny.gov/press-release/ag-schneiderman-shuts-down-

unregistered-animal-shelter-oneida-county

November 19, 2014

A.G. Schneiderman Announces Agreements With NYC Building Owners

That Return More Than $460,000 In Back Wages To Workers And

Enforce Rent Regulations For Those Taking Property Tax Incentives

Agreements Secure Unpaid Wages For More Than A Dozen Building Service

Employees; Tenants To Get Legally-Required Rent-Stabilized Leases; $150,000

In Restitution Will Go To NYC Affordable Housing Fund

Attorney General Eric T. Schneiderman today announced four settlements

with a landlord and three developers who received lucrative tax incentives

from New York City under the state’s “421-a” program, which is aimed at

encouraging development, but who failed to comply with the program’s

prevailing wage and rent-stabilization requirements. The settlements return

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more than $460,ooo in unpaid wages to about a dozen building workers at

two buildings. They require that nearly two dozen apartments in four

buildings be added to the state’s rent regulation registry. They also provide

more than $150,000 in restitution to New York City.

http://www.ag.ny.gov/press-release/ag-schneiderman-announces-

agreements-nyc-building-owners-return-more-460000-back-wages

November 17, 2014

A.G. Schneiderman Announces Settlement Against Fraudulent Driveway

Paving Contractors

Southern Tier And Central New York Homeowners Were Targeted, Victims Have

Until December 27th To Seek Restitution For Shoddy And Illegal Work

Attorney General Eric Schneiderman today announced that his office has

obtained a judgment against home improvement contractors who repeatedly

and persistently ripped off customers in the Southern Tier and Central New

York by going door-to-door seeking to pave and repair driveways. The

contractors performed shoddy and incomplete work, intimidated customers

into paying more than the negotiated price, and failed to abide by New York’s

home improvement contract laws.

http://www.ag.ny.gov/press-release/ag-schneiderman-announces-

settlement-against-fraudulent-driveway-paving-contractors

NORTH CAROLINA

November 14, 2014

Attorney General Roy Cooper Announces Paving Scammer Banned From

Business In North Carolina

A fly-by-night driveway paver who targeted North Carolina seniors in the Triad

area with inflated prices and shoddy work is now permanently banned from

the paving business in North Carolina, Attorney General Roy Cooper

announced today.

http://www.ncdoj.gov/News-and-Alerts/News-Releases-and-

Advisories/Paving-scammer-banned-from-business-in-North-Carol.aspx

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NORTH DAKOTA

November 25, 2014

Attorney General Wayne Stenehjem Says Cease & Desist Order Issued

Against Florida Company For Leaving Illegal Pre-Recorded Messages With

Phony Offers To Lower The Interest Rate On The Consumer’s Credit

Cards

North Dakota consumers have seen a recent surge in the “lower interest rate”

pre-recorded message scams, but Attorney General Wayne Stenehjem has

taken action today to put a stop to one scam artist.

Steven Short, doing business as Epiphany Management Systems, LLC, of

Seminole, Florida, has been banned from doing business in North Dakota.

Short was running a sham operation leaving illegal pre-recorded messages

with phony offers to lower the interest rate on the consumer’s credit cards.

http://www.ag.nd.gov/NewsReleases/2014/11-25-14a.pdf

November 24, 2014

Attorney General Wayne Stenehjem Announces Texas Telemarketer

Banned From Doing Business In North Dakota

Texas telemarketer France Carrasco, doing business as Hyper-Phonebank,

The Political Group, Hyperphonebank.com, and Thepoliticalgroup.com, is

banned from conducting business in North Dakota. Attorney General Wayne

Stenehjem issued a cease and desist order today against Carrasco and his

telemarketing operations. Carrasco lists an address in San Antonio, Texas,

and also operates in Washington, DC.

The Attorney General’s Consumer Protection division initiated an investigation

after receiving a complaint of an alleged violation of the Do Not Call laws. The

investigation determined that in addition to contacting individuals whose

telephone numbers were registered on the Do Not Call list, Carrasco used

prerecorded messages in his telemarketing activities, which also is illegal in

North Dakota.

http://www.ag.nd.gov/NewsReleases/2014/11-24-14.pdf

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OHIO

November 25, 2014

Attorney General Mike DeWine Seeks Over $100,000 Reimbursement

from Dealership

Ohio Attorney General Mike DeWine today announced a lawsuit against a

central Ohio used car dealership accused of failing to provide vehicle titles to

buyers as required by law.

The Attorney General’s lawsuit charges Woda Automotive LLC and its owner

Donald Woda with violations of Ohio law and seeks reimbursement to the

state’s Title Defect Recision (TDR) Fund.

The Attorney General’s Office paid out $108,811.50 from the TDR Fund to

resolve claims against the dealership. (Money for the TDR Fund comes from

auto dealers and is administered by the Ohio Attorney General’s Office.)

http://www.ohioattorneygeneral.gov/Media/News-Releases/November-

2014/Attorney-General-DeWine-Seeks-Over-$100-000-Reimbu

OKLAHOMA

November 5, 2014

Attorney General Scott Pruitt Issues Charges in Asphalt Paving Scam

Attorney General Scott Pruitt Wednesday announced Allen Jeffery was

charged with one felony count of obtaining property by trick, deception or

false pretense in connection with an asphalt paving scam.

Jeffery, operating under the business name J Boys Blacktop, offered to pave

the driveway of an elderly Payne County resident with asphalt he claimed was

leftover from another project and charged the woman $8,000 for the job.

Instead of using asphalt, Jeffery is alleged to have applied only a thin oily

substance to the existing gravel driveway.

http://www.ok.gov/triton/modules/newsroom/newsroom_article.php?id=258

&article_id=14939

22

TEXAS

November 12, 2014 Attorney General Greg Abbott Charges Hidalgo County Pet Shop Owners with Making False Pedigree Claims, Selling Diseased Puppies

Texas Attorney General Greg Abbott is charging McAllen-based online pet shop Valley Puppies and its operators Jessica Benavidez and Jaime de los

Reyes with multiple violations of the Texas Deceptive Trade Practices Act.

According to the State’s enforcement action, the defendants run the Valley Puppies website and unlawfully induce customers to purchase puppies by making false claims that the pets are purebred with a registered pedigree.

Customers – some of whom reportedly paid up to $3,500 for their puppy and its vaccination record – received an assurance from the defendants that the puppy’s pedigree would arrive within a few weeks from the Ukrainian Kennel

Union (UKU). In fact, the State’s investigation found that the defendants never are able to produce the puppies’ pedigree to purchasers. The UKU has no

relationship with the defendants. Additionally, despite breeding and offering puppies for sale, the defendants are not licensed breeders with the State of Texas.

https://www.texasattorneygeneral.gov/oagNews/release.php?id=4890

VERMONT

November 24, 2014

Vermont Attorney General William Sorrell Announces Active.Com To

Refund Vermont Runners

Over 1500 Vermont consumers may receive more than $160,000 from Active

Network, LLC, a Texas-based company that provides an online platform for

individuals to register for races and other recreational activities. The refunds

stem from Active’s deceptive method of signing consumers up for its discount

membership program – ActiveAdvantage – during online registration for races.

Vermonters who registered for races were often later charged between $59

and $65 annually for ActiveAdvantage. Active charged the credit cards that

consumers used when they registered for a race or event. Less than 10% of

these consumers ever utilized the “benefits” of ActiveAdvantage.

http://ago.vermont.gov/focus/news/active.com-to-refund-vermont-

runners.php

23

VERMONT CON’T

November 5, 2014 Vermont Attorney General William Sorrell Settles Claims Against Buck’s

Furniture

Approximately ninety consumers will receive $100 each in restitution as a

result of an agreement between the State of Vermont and Buck’s Furniture, a

furniture dealership previously operating out of Wolcott, Vermont. Buck’s

Furniture, along with its owner and manager Sandy Howard, have agreed to a

consumer protection settlement that requires it to pay a total of $9,000 in

restitution to consumers as well as $11,000 to the State.

http://ago.vermont.gov/focus/news/vermont-attorney-general-settles-claims-

against-bucks-furniture.php

VIRGINIA

November 26, 2014

Attorney General Mark Herring Announces APCo to Provide Rebates to

Customers, Has Approved Profit Reduced

Attorney General Mark Herring's team helped win a victory on Wednesday for

more than 500,000 customers of Appalachian Power in central, southwest,

and southside Virginia. The State Corporation Commission agreed with the

Attorney General that Appalachian Power had overearned during 2012 and

2013 and ordered $5.825 million in rebates to customers to be distributed

over the next six months according to each customer's usage. Additionally,

the SCC granted the Attorney General's request that it reject a proposed

doubling of the monthly "customer charge" for residential customers, small

businesses, and places of worship. Finally, the SCC agreed with the Attorney

General that APCo's rate of return should be reduced and set it at 9.7%. This

is the first time the rate has been set below 10.0% in decades and should help

ensure the lowest rates possible for APCo customers.

http://www.oag.state.va.us/index.php/media-center/news-releases/379-

november-26-2014-apco-to-provide-rebates-to-customers-has-approved-

profit-reduced

24

WISCONSIN

November 26, 2014

Attorney General J.B. Van Hollen Files Complaint Against

Laura Lovrien and Her Businesses Orbital Publishing Group, Inc. and

Liberty Publishers Service, Inc.

Attorney General J.B. Van Hollen filed a consumer protection enforcement

action in Dane County against Laura Lovrien, a resident of the State of

Oregon, and her periodical subscription businesses Orbital Publishing Group,

Inc. and Liberty Publishers Service, Inc. The lawsuit alleges violations of

Wisconsin’s consumer protection laws for engaging in unfair, false,

misleading, and deceptive trade practices. According to the complaint, the

defendants send false and misleading mail pieces to induce consumers -

including many elderly – into subscribing to fake periodicals, or periodicals for

which the defendants, as third-party subscription agents, could not secure

subscriptions.

The complaint alleges that the defendants’ direct-mail pieces falsely imply that

they are associated with the periodical publisher and often offer discounted

pricing, when in fact the prices charged by the defendants are significantly

higher than that of the publishers. For example, a one-year subscription to

the Milwaukee Journal Sentinel costs $182 for 52 weeks, yet the defendants’

mail solicitations quote a price of $499. Nor does the Journal Sentinel accept

renewals from a third-party subscription agent. The complaint further alleges

that the defendants have sent completely fake invoices, some for periodicals

that do not exist, such as the Madison State Journal. A copy of the Summons

and Complaint is available here.

http://www.doj.state.wi.us/media-center/2014-news-releases/november-26-

2014

25

MULTISTATE CASES AND SETTLEMENTS

November 24, 2014 38 Attorneys General Call For Updates in Telemarketing Sales Rule to Protect Consumers

The National Association of Attorneys General (NAAG) sent comments to the Federal Trade Commission (FTC), calling on the agency to update its

Telemarketing Sales Rule (TSR) in specific areas to protect consumers and cut down on continued telemarketer fraud and abuse.

Telemarketing and its abuses occur when consumers are engaged in phone calls with businesses in the privacy of their homes as well as on their

personal cell phones. In many states, telemarketing complaints rank among the top five complaint categories received from their citizens. State attorneys general offices are on the front line in fielding consumer complaints, taking up

investigations, and pursuing legal actions against those who prey on victims. Examples include the grandparent scam, Nigerian scams, romance scams and

counterfeit check scams. The NAAG comments signed by 38 state and territorial attorneys general

focus on four areas and offer specific recommendations.

http://www.naag.org/attorneys-general-call-for-updates-in-telemarketing-sales-rule-to-protect-consumers.php

November 20 2014 Attorneys General Biden, Coakley and Conway Lead Coalition of

Attorneys General Calling on Federal Agency to Protect Consumers From Mandatory Arbitration Clauses in Contracts

The federal government should adopt rules that protect consumers from mandatory arbitration clauses in important contracts, Delaware Attorney

General Beau Biden and his colleagues in 15 other states wrote in a letter sent this week to the U.S. Consumer Financial Protection Bureau.

The mandatory arbitration clauses are inserted by financial institutions into critical contracts for essential financial products, such as credit card, payday

loan and checking account agreements. The language either has the effect of prohibiting the consumer from pursuing a claim against the financial institution in court or makes it prohibitively expensive by restricting the

26

consumers’ rights to form a class-action lawsuit. Also, unlike court proceedings, arbitration matters are usually decided in secret and the

decisions are not publicized.

http://news.delaware.gov/2014/11/20/biden-coakley-and-conway-lead-coalition-of-attorneys-general-calling-on-federal-agency-to-protect-consumers-from-mandatory-arbitration-clauses-in-contracts/

November 19, 2014 FTC, Illinois, and Ohio Stop Scheme That Offered ‘Free’ Credit Scores,

Then Charged Consumers for Credit Monitoring Programs They Never Ordered

The Federal Trade Commission has stopped an online scheme that allegedly lured consumers with “free” access to their credit scores and then billed them

a recurring fee of $29.95 per month for a credit monitoring program they never ordered. The three companies have agreed to pay $22 million for consumer refunds under a settlement with the FTC and the state attorneys

general in Illinois and Ohio. The defendants marketed their credit monitoring programs, MyCreditHealth

and ScoreSense, through at least 50 websites, including FreeScore360.com, FreeScoreOnline.com and ScoreSense.com. According to the FTC, they bought

advertising on search engines such as Google and Bing so that ads for their websites appeared near the top of search results when consumers looked for terms such as “free credit report.” The most prominent ad stated, “View your

latest Credit Scores from All 3 Bureaus in 60 seconds for $0!” According to a complaint filed by the FTC, Illinois, and Ohio, the defendants

failed to clearly disclose that consumers who accessed their credit score through their websites would be enrolled in a credit monitoring program and

incur monthly charges until they called the defendants to cancel. At least 210,000 consumers contacted banks, credit card companies, law enforcement agencies, and the Better Business Bureau to complain about the scheme.

The only way consumers could cancel their membership and request refunds

was to call a toll-free number. Consumers often had to make repeated calls to secure their cancellation or refund. The defendants often denied refunds to those who claimed they did not knowingly enroll.

http://www.ftc.gov/news-events/press-releases/2014/11/ftc-illinois-ohio-stop-scheme-offered-free-credit-scores-then

27

MEDICAID FRAUD CASES AND SETTLEMENTS

ARKANSAS

November 07, 2014

Attorney General Dustin McDaniel Announces Arrests over Fraudulent

Billing 0f Medicaid

Attorney General Dustin McDaniel announced today that the executive

director and case manager for a now-closed Faulkner County facility for the

developmentally disabled have been arrested for Medicaid fraud and

exploitation following an investigation by the Attorney General’s Medicaid

Fraud Control Unit.

Kathy Koone Hall, 48, and her daughter, Melanie Ray Koone McCarty, 28,

both of Conway, were arrested Friday morning on multiple counts of Medicaid

fraud and exploitation. District Judge Susan Weaver set Hall’s bond at

$15,000 and McCarty’s bond at $10,000.

http://arkansasag.gov/news-and-consumer-alerts/details/medicaid-fraud-

arrests-announced

FLORIDA

November 25, 2014

Attorney General Pam Bondi Announces Okeechobee Woman Arrested

For Fraudulently Billing Medicaid $34,000 For Services Never Provided

Attorney General Pam Bondi’s Medicaid Fraud Control Unit and the

Okeechobee County Sheriff’s Office arrested Nancy Zeigler, 53, for more than $34,000 in Medicaid fraud. According to the investigation, Ziegler fraudulently

billed Medicaid for services never provided while employed as the Executive Director at Okeechobee Rehabilitation Facility, Inc. Ziegler allegedly billed Medicaid for adult day care, transportation and respite care that amounted to

more than $34,000. Zeigler is charged with one count of Medicaid fraud, a second-degree felony. If convicted, she faces up to 15 years in prison, a fine of more than $170,000, and restitution. The Attorney General’s Office of

Statewide Prosecution is prosecuting this case.

http://www.myfloridalegal.com/newsrel.nsf/newsreleases/0E2D44D737D0E

2EB85257D9B004F819E

28

FLORIDA CON’T

November 19, 2014

Attorney General Pam Bondi Announces Eleven Individuals Charged for Their Role in Medicare and Medicaid Fraud Scheme in Florida,

Nicaragua, and the Dominican Republic Eight residents of Miami-Dade County and three residents of Nicaragua have

been charged for their alleged participation in a $25.2 million Medicare, Medicaid, and wire fraud scheme.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Pam Bondi, Florida Attorney General, Derrick L. Jackson, Special Agent in

Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Wendy A. Bashnan, Special

Agent in Charge, U.S. Department of State, Diplomatic Security Service (DSS), made the announcement.

http://www.myfloridalegal.com/newsrel.nsf/newsreleases/E691EAC851B22DB885257D950070774D

GEORGIA November 17, 2014

Attorney Sam Olens Announces Atlanta OB/GYN Convicted of Medicaid

Fraud Ordered to Repay $300,000.

On November 13, 2014, Judge Christopher S. Brasher of the Fulton County

Superior Court ordered convicted felon Nathaniel Johnson, of Atlanta, to

repay the State of Georgia $300,000 in stolen Medicaid funds.

On July 17, 2014, after three days of jury trial, Johnson pled guilty to one

felony count of Medicaid Fraud (O.G.G.A. § 49-4-146.1(b)), one felony count of

Conspiracy to Defraud the State (O.C.G.A. § 16-10-21) and one felony count

of allowing the Unlicensed Practice of Medicine (O.C.G.A. § 43-34-22). As part

of the non-negotiated plea, Judge Brasher imposed a ten-year sentence with

the first six months to serve in jail, ordered Johnson to surrender his license

to practice medicine, and required repayment of stolen Medicaid funds.

http://law.ga.gov/press-releases/2014-11-17/atlanta-obgyn-convicted-

medicaid-fraud-ordered-repay-300000-stolen

29

GEORGIA CON’T

November 10, 2014

Attorney Sam Olens Announces Two Individuals Charged with Falsely

Billing Georgia Medicaid for Over $977K

On Thursday, November 6, 2014, a Cobb County Grand Jury charged

Matthew David Harrell and Andrea Lillie Barrett with one count of Medicaid

Fraud (O.C.G.A. § 49-4-146.1(b)), one count of Conspiracy to Defraud the

State (O.C.G.A. § 16-10-21), and one count each of Identity Fraud (O.C.G.A. §

16-9-121) for stealing over $977,000 from Georgia Medicaid.

Harrell owned and operated Revive Athletics, Inc. located in Henry County,

Ga. Barrett owned and operated Lillie Cares Health Services, LLC, with

Georgia locations in Glynn County and Chatham County. Between July 22,

2013, and August 29, 2014, both Revive Athletics and Lillie Cares Health

Services were enrolled in Medicaid purporting to provide services for the

Georgia Medicaid Program.

http://law.ga.gov/press-releases/2014-11-10/two-charged-falsely-billing-

georgia-medicaid-over-977k

IDAHO

November 3, 2014

Attorney General Lawrence Wasden Sentences Home Care Company

Employees for Submitting Fraudulent Claims to Medicaid

Cline M. Waddell and his office manager, Linda J. Hefner, of Assisting Hands

Home Care-Boise, LLC, a Nampa business, have been sentenced for

defrauding Medicaid, Attorney General Lawrence Wasden said.

Waddell, 66, pleaded guilty and was sentenced today. Waddell was aware of

Hefner putting her name down for hours she did not work but did not do

anything about it and allowed the fraudulent claims to be submitted to the

Idaho Medicaid Program. Third District Judge George Southworth accepted a

stipulated plea agreement and ordered Waddell to perform 40 hours of

community service and pay $300 in fines and court costs. Terms of the plea

30

agreements require both Waddell and Hefner to reimburse Medicaid a total of

$12,282, which Waddell paid prior to sentencing.

http://www.ag.idaho.gov/media/newsReleases/2014/nr_11032014b.html

KANSAS

November 25, 2014

Attorney General Derek Schmidt, Federal Authorities Crack Down On

Home Health Care Fraud in Kansas

Kansas Attorney General Derek Schmidt and the U.S. Department of Health

and Human Services/Office of Inspector General have joined forces to crack

down on home health care fraud in Kansas and have obtained their first

criminal conviction from the joint operation, both offices announced today.

For several months, the offices have worked together on “Operation No

Show,” the cooperative investigation of fraudulent billing to Medicaid for

personal care services provided in Medicaid beneficiaries’ homes. The focus of

the multiple investigations has been on abuse of Medicaid’s Home and

Community Based Services program that pays personal care attendants to

assist qualifying Medicaid recipients with general household activities and

personal care.

http://ag.ks.gov/media-center/news-releases/2014/11/25/ag-schmidt-

federal-authorities-crack-down-on-home-health-care-fraud-in-kansas

31

MARYLAND

November 10, 2014

Attorney General Douglas Gansler Announces Silver Spring Man Indicted

for Medicaid Fraud and Theft

Attorney General Douglas F. Gansler announced today that Taba Eseme, 39,

of Silver Spring, has been indicted by the Prince George's County Grand Jury

on one count of felony Medicaid fraud and one count of felony theft scheme.

Court dates have not yet been scheduled.

The indictment alleges that from July 2007 through November of that year,

Eseme defrauded the Maryland Medicaid program in connection with the

delivery of and payment for health care services. Felony Medicaid fraud is

punishable by up to five years' incarceration and up to a $100,000 fine for

each offense. Felony theft scheme for offenses committed before October 1,

2009 is punishable by up to 15 years' incarceration and up to a $25,000 fine

for each offense.

http://www.oag.state.md.us/Press/2014/111014.html

MASSACHUSETTS

November 13, 2014

Attorney General Martha Coakley Announces Medway Couple Charged in

Connection with Defrauding MassHealth and Filing False Insurance

Claims

Defendants Allegedly Profited More Than $1 Million from the Sale of Medical

Products Obtained Through Fraudulent Insurance Claims

A Medway husband and wife have been charged in connection with

fraudulently billing MassHealth and profiting more than $1 million from the

sale of medical products obtained through the filing of false health care

claims, Attorney General Martha Coakley announced today.

http://www.mass.gov/ago/news-and-updates/press-releases/2014/2014-

11-13-alessandrini-indictments.html

32

MISSISSIPPI

November 3, 2014

Attorney General Jim Hood Announces Greenville Doctor Found Guilty

of Medicaid Fraud. Dr. Azamani Was Billing Medicaid For More Expensive

Services Than He Was Actually Rendering.

A Greenville doctor has been found guilty of defrauding the state’s Medicaid

fraud system, announced Attorney General Jim Hood today.

Dr. Hosan Menanya Azomani, 45, was convicted of two counts of Medicaid

fraud by a jury today. The trial lasted six days. Sentencing has not yet been

set.

http://www.ago.state.ms.us/releases/greenville-doctor-found-guilty-of-

medicaid-fraud/

MISSOURI

November 18, 2014

Attorney General Chris Koster Announces Medicaid Fraud Settlement

With Home-Care Provider For Submitting False Claims To MO Healthnet

Attorney General Chris Koster announced today that he has reached a

settlement with Independent Home Care, Inc., of St. Louis, and the company's

owner, Sharlene Scruggs, for submitting false claims to MO HealthNet,

Missouri's Medicaid program. The agreement requires Scruggs and her

business to pay the state $224,616.

http://ago.mo.gov/newsreleases/2014/AG_Koster_announces_Medicaid_settl

ement_home-care_provider/

33

NEW YORK

November 24, 2014

A.G. Schneiderman Announces Indictment Of Three Brooklyn

Pharmacies, Pharmacy Owners, And Pharmacists For Alleged $5 Million

Medicaid Fraud

Pharmacies Allegedly Used Pharmacist Barred From Medicaid And Billed

Medicaid For Medications Never Dispensed While Hiding The Identity Of The

True Owner Who Lived In Pakistan

Attorney General Eric T. Schneiderman today announced the indictment of

three pharmacies and seven individuals for allegedly defrauding Medicaid of

over $5 million. The pharmacies were allegedly paying customers for

prescriptions obtained from a local doctor and then billed Medicaid for the

drugs even though they were never dispensed.

http://www.ag.ny.gov/press-release/ag-schneiderman-announces-

indictment-three-brooklyn-pharmacies-pharmacy-owners-and

November 13, 2014

A.G. Schneiderman Announces Arrests Of Doctor And Nurse In Alleged

Fraud Scheme In Dutchess County Affecting Hundreds Of Homebound

Elderly

Doctor Charged With Billing Medicare And Medicaid More Than $50,000 For

Physician Services Performed By Nurse

Attorney General Eric T. Schneiderman today announced that his office filed

felony complaints against and arrested Jeanine Santiago, a medical doctor,

and Wendy Potter, a registered nurse, on charges that they conspired for

Potter to provide physician services to hundreds of Santiago’s elderly and

infirm homebound patients. Filed in Dutchess County’s Town of Wappinger

Justice Court, the court papers allege that Santiago gave Potter blank and

pre-signed prescription slips issued in Santiago’s name and that Potter, in her

sole discretion, filled out the prescriptions, including for powerful narcotics,

and gave them to Santiago’s patients. Santiago is further charged with

defrauding Medicare of more than $50,000 and Medicaid more than $1,000

34

by submitting claims for more expensive physician services which were in fact

provided by a nurse.

http://www.ag.ny.gov/press-release/ag-schneiderman-announces-arrests-

doctor-and-nurse-alleged-fraud-scheme-dutchess

PENNSYLVANIA

November 6, 2014

Attorney General Kane Announces Arrest of Philadelphia Man for Filing

False Medicaid Claims

Attorney General Kane today announced Medicaid fraud and other charges

against a Philadelphia man for defrauding more than $82,000 by claiming to

care for his brother when he was being cared for by a hospital, and after he

died.

The Attorney General's Medicaid Fraud Control Section presented evidence to

a statewide investigating Grand Jury, which recommended charges against

Terrance Jenkins, 61, 535 Mckinley St., Philadelphia.

According to the Grand Jury, Jenkins was responsible for providing care for

his brother and was reimbursed through the Department of Public Welfare's

Independence Waiver Program.

https://www.attorneygeneral.gov/Media_and_Resources/Press_Releases/Pres

s_Release/?pid=1204

SOUTH DAKOTA

November 26, 2014

Attorney General Marty Jackley Announces Avera Gregory Hospital Settles with State on Improper Medicaid Claims.

Avera Gregory Hospital paid $84,711.89 to South Dakota. Attorney General Marty Jackley and Avera Gregory Hospital announced today that they have reached a settlement involving Medicaid payments. According to the settlement agreement, the State contends that Avera Gregory

Hospital submitted allegedly improper claims to Medicaid involving coding errors during the approximate time period from January 1, 2005, through

35

April 30, 2014. The settlement is neither an admission of liability by Avera Gregory Hospital, nor a concession by South Dakota that its claims are not

well founded. http://atg.sd.gov/News/NewsReleases/NewsReleasesView/tabid/441/itemID

/3485/moduleID/597/Default.aspx

36

CONSUMER ADVOCACY

CALIFORNIA

November 25, 2014

Attorney General Kamala D. Harris Issues Consumer Alert on Scams

Targeting Immigrants and their Families

Attorney General Kamala D. Harris today issued a consumer alert to

Californians about possible scams targeting immigrants and their

families. Major changes to United States immigration policy, like those

contained in President Barack Obama’s Immigration Accountability Executive

Actions announced on November 20, 2014, often lead to con artists emerging

to prey on vulnerable consumers seeking help with immigration services.

Using unauthorized immigration consultants can delay your application, cost

you unnecessary fees and possibly lead to removal proceedings. This

consumer alert will give you tips on how to avoid and report immigration

services scams.

http://oag.ca.gov/news/press-releases/attorney-general-kamala-d-harris-

issues-consumer-alert-scams-targeting

ILLINOIS

October 7, 2014

Attorney General Lisa Madigan Urges Stronger Oversight Of For-Profit

College Industry

Attorney General Joins Letter of Support for Passage of Federal Legislation to

Improve Coordination in Agencies Overseeing For-Profit Schools

Attorney General Lisa Madigan today sent a letter to U.S. Senators Dick

Durbin (D-IL) and Tom Harkin (D-IA) and U.S. Representative Elijah

Cummings (D-MD) expressing support for their legislation that would improve

coordination among federal agencies overseeing the for-profit college industry.

http://www.illinoisattorneygeneral.gov/pressroom/2014_10/20141007.html

37

MAINE

November 14, 2014

Attorney General Janet T. Mills Warns Mainers To Be Suspicious Of

Callers Demanding Immediate Payments

Attorney General Janet T. Mills reports that her Office has received many

recent reports of aggressive calls from scammers demanding immediate

payments on supposed debts. The common thread among the scammers is

that they attempt to get you to make a payment by wire transfer or pre-paid

debit card. Mainers should be very suspicious of anyone calling out of the

blue and demanding an immediate payment of a debt, especially if they

require that payment by any reloadable cash cards such as Green Dot Money

Pak or a wire service like Western Union.

http://www.maine.gov/ag/news/article.shtml?id=631669

MICHIGAN

November 19, 2014

Schuette Partners with Nonprofits to Help Michigan Citizens Make Smart

Donations

The Michigan Nonprofit Association, Council of Michigan Foundations,

Michigan Association of United Ways, and Attorney General Bill Schuette

today unveiled a helpful resource designed to help Michigan citizens make

smart decisions to support charities this holiday season, the annual Giving

Wisely brochure.

http://www.michigan.gov/ag/0,4534,7-164-46849_47203-341768--,00.html

38

MICHIGAN CON’T

November 13, 2014

Attorney General Bill Schuette Fights Excessive Electric Rates for Upper

Peninsula Residents

Attorney General Bill Schuette announced today that he has intervened in two

cases before the Michigan Public Service Commission (MPSC) in order to

challenge requests for electric rate increases by two utility companies serving

the Upper Peninsula; Northern States Power Company and Wisconsin Public

Service Corporation.

http://www.michigan.gov/ag/0,4534,7-164-46849_47203-341274--,00.html

NEVADA

November 24, 2014

Attorney General Catherine Cortez Masto, Secretary Of State Miller,

Warn Nevadans of Immigration Services Scams

Nevada Attorney General Catherine Cortez Masto and Nevada Secretary of

State Ross Miller are advising Nevadans to beware of immigration scams, after

President Obama’s announcement of his new executive action on immigration.

“Scammers take advantage of people anytime new federal or statewide

programs are announced,” said Masto. “The wrong help can hurt. People

should know their rights and that they can always turn to my office for help.”

“If you plan to enlist a document preparation service to complete your

immigration paperwork, first ensure that the company is registered with my

office,” said Miller. “Many document preparers advertise themselves as

‘notarios,’ which should not be confused with ‘notaries public.’ Notarios in

Mexico serve a specific legal function which is not recognized in the United

States. My office remains vigilant about protecting consumers taken in by

scam artists.”

http://ag.nv.gov/News/PR/2014/Consumer_Protection/Attorney_General_M

asto,_Secretary_Of_State_Miller,_Warn_Nevadans_of_Immigration_Services_Sc

ams/

39

NEVADA CON’T

November 21, 2014

Attorney General Masto Alerts Consumers of Debt Collector Scams

Nevada Attorney General Catherine Cortez Masto wants consumers to be

aware of debt collector scams.

“Consumers should be extra cautious about safe guarding their information

and know their rights when talking to a debt collector,” said Masto.

Consumers continue to receive calls from individuals posing as debt collection

agencies to collect on loans that the consumers never received or amounts

they do not owe. According to a 2014 report by the Consumer Financial

Protection Bureau, one-third of complaints from seniors are about debt

collection.

http://ag.nv.gov/News/PR/2014/Consumer_Protection/Attorney_General_M

asto_Alerts_Consumers_of_Debt_Collector_Scams/

NEW YORK

November 21, 2014

A.G. Schneiderman Warns Immigrants To Avoid Becoming Victims Of

Potential Scams As President Announces Executive Action On

Immigration Policy

In the wake of President Obama’s executive action on immigration, Attorney

General Eric T. Schneiderman today issued a consumer alert warning

undocumented immigrants to beware of potential scammers offering

immigration services. It is estimated that the president’s executive action will

impact an estimated five million individuals, by expanding the population

eligible for the Deferred Action for Childhood Arrivals (DACA) program to

young people who came to this country before turning 16 years old and have

been present since January 1, 2010, and extending the period of DACA and

work authorization from two years to three years. In addition, the new

executive order will allow parents of U.S. citizens and lawful permanent

residents who have been in the country since January 1, 2010, to request

deferred action and employment authorization for three years, in a new

40

NEW YORK CON’T

Deferred Action for Parental Accountability program, provided they pass

required background checks. In addition, the order will expand the use of

provisional waivers of unlawful presence to include the spouses and sons and

daughters of lawful permanent residents and the sons and daughters of U.S.

citizens.

http://www.ag.ny.gov/press-release/ag-schneiderman-warns-immigrants-

avoid-becoming-victims-potential-scams-president

November 19, 2014

A.G. Schneiderman Enlists New York's Colleges And Universities To

Combat Grandparent Scam

Scam Targeting Seniors Increases In Frequency During School Vacations Like

Next Month’s Winter Recess

Attorney General Eric Schneiderman today asked New York’s colleges and

universities to help combat the so-called “grandparent scam,” where

perpetrators impersonate relatives in need and then dupe unsuspecting

seniors into sending them money. The scam involves a call to a senior citizen

in which the caller impersonates a grandchild claiming to be in serious

trouble and asks the unsuspecting grandparent to wire money immediately.

The Federal Trade Commission recorded more than 40,000 incidents of

grandparent scams from 2010 to 2013 and the scam is widely considered to

be underreported.

http://www.ag.ny.gov/press-release/ag-schneiderman-enlists-new-yorks-

colleges-and-universities-combat-grandparent-scam

November 13, 2014

A.G. Schneiderman Issues Consumer Alert Following Recent Reports Of

State Tax Debt Collection Scams

Scammers Impersonating Debt Collectors, Pocketing Debt Payments

Attorney General Eric Schneiderman today issued a consumer alert following

recent reports of bogus tax debt collection scams. The New York State

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NEW YORK CON’T

Taxpayer Rights Advocate has reported recent fraudulent activity by

scammers posing as debt collectors seeking to settle alleged outstanding state

tax debts. The scammers are pressuring consumers into sending payments

via money order to satisfy debts that the consumers may not actually owe.

http://www.ag.ny.gov/press-release/ag-schneiderman-issues-consumer-

alert-following-recent-reports-state-tax-debt

NORTH CAROLINA

November 24, 2014

Attorney General Roy Cooper: Beware Of Scammers Threatening To Cut

Off Your Power

Attorney General Roy Cooper, Duke Energy warn of telephone fraud targeting

NC

A telephone payment scam targeting Duke Energy customers and customers

of other utilities could heat up as the weather cools, Attorney General Roy

Cooper said Monday.

http://www.ncdoj.gov/News-and-Alerts/News-Releases-and-

Advisories/Press-Releases/Beware-of-scammers-threatening-to-cut-off-your-

pow.aspx

NORTH DAKOTA

November 19, 2014 Attorney General Wayne Stenehjem: ND Residents Receiving Scam

Phone Calls From Their Own Telephone Number

North Dakota residents across the state have been receiving scam recorded messages that appear to come from their own telephone number, said Attorney General Wayne Stenehjem.

http://www.ag.nd.gov/NewsReleases/2014/11-19-14.pdf

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OHIO

November 28, 2014

Attorney General Mike DeWine Announces Ohioans Losing Money to Job

Scams

Ohio Attorney General Mike DeWine today warned Ohioans to be cautious of

opportunities to make extra money this holiday season. Some job offers and

work-from-home opportunities are scams.

In 2014, the Ohio Attorney General’s Office has received nearly 100

complaints involving job or business-opportunity potential scams. The

average reported loss is more than $1,300.

http://www.ohioattorneygeneral.gov/Media/News-Releases/November-

2014/Ohioans-Losing-Money-to-Job-Scams

November 14, 2014

Attorney General Mike DeWine Warns of Social Media Scams

Ohio Attorney General Mike DeWine today warned Ohio consumers about

scams that attract potential victims through social media.

http://www.ohioattorneygeneral.gov/Media/News-Releases/November-

2014/Attorney-General-DeWine-Warns-of-Social-Media-Scam

OKLAHOMA

November 6, 2014

AG Pruitt Warns Oklahomans of “Steering” by Insurance and Auto Body

Repair Shops

Attorney General Scott Pruitt Thursday issued a warning to Oklahomans

regarding the practice of “steering” – where insurers strongly push consumers

to auto body repair shops that may provide substandard service to

consumers.

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OKLAHOMA CON’T

Attorney General Pruitt is looking in to reports that certain insurers are

coercing Oklahomans into using auto body repair shops that may use

salvaged parts or other substandard materials to make repairs, while claiming

to use new parts or materials made by the automobile manufacturer. In many

instances, the use of so-called “after-market” parts voids automobile

manufacturer warranties. Such parts also may not meet manufacturer

specifications and potentially could fail in the future.

http://www.ok.gov/triton/modules/newsroom/newsroom_article.php?id=258

&article_id=14942

RHODE ISLAND

November 25, 2014

Attorney General Kilmartin Calls for PUC Scrutiny of Proposed National

Grid Rate Hikes

In a letter delivered to the Public Utilities Commission today on behalf of

Attorney General Peter F. Kilmartin, the Office of Attorney General is urging

the PUC to scrutinize the requested electricity rate hikes proposed by National

Grid for the winter months.

http://www.ri.gov/press/view/23443

WEST VIRGINIA

November 28, 2014

Attorney General Patrick Morrisey Warns Consumers About Fraudulent

Online Pet Ads

Attorney General Patrick Morrisey is urging consumers to be careful when

responding to online ads selling puppies, kittens, and other pets for little or

no cost.

The Office’s Consumer Protection Division recently received a report from a

north-central West Virginia resident who answered an online ad for a Boston

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terrier. She negotiated via email with a seller who purported to be from

Grafton, but had recently moved to Georgia. As instructed, she purchased a

pre-paid debit card and sent the information to the seller. The resident said

the seller never responded to her after receiving the payment and the puppy

was never delivered as promised.

http://www.ago.wv.gov/pressroom/2014/Pages/Attorney-General-Patrick-

Morrisey-Warns-Consumers-About-Fraudulent-Online-Pet-Ads.aspx