The Attorney General of Indiana has obtained a $1.3 million judgment against a collection agency and its owner that were accused of engaging in deceptive and abusive collection practices and operating without a proper license.
The AG filed a lawsuit against New Britain Financial and its founder, Nelson Macwan, last September. Neither the company nor the owner responded to the lawsuit, so a state judge issued the default judgment in favor of the AG. The judgment includes $300,000 in restitution to consumers and civil fines of more than $1 million. The defendants are also prohibited from engaging in debt collection activities in Indiana as a result of the ruling. A copy of the judgment can be accessed by clicking here.
“I’ll always work to protect Hoosiers from businesses that break the law or otherwise engage in misconduct that harms consumers,” said Todd Rokita, the Attorney General of Indiana, in a statement. “We value every company that wants to do business in our state, but they have to follow our laws and respect the rights of our citizens.”
New Britain had a license in Indiana from its founding in 2015 through 2018, but the license was not renewed in 2019, citing a lack of “good moral character.” The Indiana Secretary of State had learned that Macwan was previously enjoined from operating as a debt collector in Illinois and had served time in jail for violating that injunction.
Along with operating without a license, the agency was accused of engaging in deceptive and abusive tactics, including “threatening consumers with lawsuits, with arrest, with garnishments and liens without having judgments against them.”
