AG Alleges Abuse, Sues Collection Agency

Friday, Jan 23, 2009  |  Updated 9:30 PM CDT
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AG Alleges Abuse, Sues Collection Agency

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Madigan filed suit in southeastern Illinois' Wabash County Thursday, alleging that Jacksonville, Fla.-based United Processing, Inc. operated without a state license and used deceptive practices.

Ill. Attorney General Lisa Madigan is suing a collection agency that she says used threatening and abusive language toward debtors and their families while trying to collect on payday loans made in the state.

Madigan filed suit in southeastern Illinois' Wabash County Thursday, alleging that Jacksonville, Fla.-based United Processing, Inc. operated without a state license and used deceptive practices. She says United employees posed as attorneys and told debtors that the state would take their children away if they refused to pay.

The attorney general said that United told some people they could face criminal charges and two years in jail. She said United gave private information about debtors to their employers.

A phone number for United rang unanswered.

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