Tuesday, July 7, 2009

Injunction Issued Against Misleading Companies

Here's the text from a recent newsletter from the Indiana Secretary of State:

"Indiana Corporate Compliance, International Corporate Compliance, Inc. and Papillon Global Marketing, LLC are no longer allowed to misrepresent themselves as a government agency to Indiana business owners thanks to an investigation conducted by the Indiana Secretary of State. The Marion County Superior Court issued a permanent injunction requiring the companies to immediately stop sending any written notices or transmissions that could reasonably be interpreted as a compliance notice from a government entity.
In May, the Indiana attorney general's office filed a complaint against the companies, most commonly known as Indiana Corporate Compliance, alleging multiple violations of Indiana's Deceptive Commercial Solicitation Act. Individuals Aaron V. Williams and Lisa Diane Brown, both of California, were also named in the lawsuit. Indiana Corporate Compliance had been sending letters to businesses all over Indiana under the guise of the Business Services Division of Indiana Secretary of State Todd Rokita's office, citing a fictitious state law implying businesses were required to send up to $150 for record keeping services.
"The permanent injunction is an important step forward in our ongoing efforts to prevent Indiana businesses from being deceived," said Secretary Rokita. "Obtaining this judgment is the direct result of the tireless work by my investigators and the cooperation of hundreds of businesses from around the state who were targeted by this scam. My office will continue to make businesses aware of these types of scams, and I thank Attorney General Zoeller and his team for working with us to bring justice through the legal system."
The Secretary of State's office, which registers and certifies Indiana businesses, began an investigation as a result of complaints it received from businesses. A hearing will be scheduled to determine the total amount of damages which could be awarded to those who fell victim to the scam. More than 150 Indiana businesses reported sending money in response to the letters from Indiana Corporate Compliance and its affiliates.
Recipients of the letters reported believing the compliance notices were generated by a government agency and were misleading and confusing. As a result, the court found it reasonable that business owners would be confused and would comply with the notice."

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