Scott Tucker, a racecar driver who earned nearly $400 million from running a massive payday lending operation, was convicted on Friday of exploiting individuals with illegally high interest rates and deceptive loan terms. Tucker, along with business partner Timothy Muir, face “significant” prison terms when they are sentenced on January 5, 2018.
Tucker, along with his brother Joel, have been in the regulatory spotlight for a number of years, as a result of their payday lending operation as well as their debt collecting and debt selling tactics.
Prosecutors alleged that Tucker and Muir used Native American tribes and reservations to hide their operations because they are generally not subject to following state regulations. In some cases, payday loans originated by companies owned by Tucker and Muir carried interest rates as high as 700%.
An attorney who represented Tucker said that he may appeal the verdict. The trial wrapped up with closing arguments on Thursday and a unanimous verdict was handed down on Friday in New York. Prosecutors will seek to have Tucker’s holdings, including an $8 million house in Aspen, an a Ferrari racecar worth $1.3 million.
Tucker has been fighting legal and regulatory battles over his payday lending empire for more than a dozen years. The 55-year-old now faces up to 20 years in prison.
