Pennsylvania’s attorney general has filed a lawsuit against Baltimore company Direct Leadsource, and its owner Charles Ruppersberger, the son of Rep. C.A. Dutch Ruppersberger, over alleged violations of the state’s “Do Not Call” law.
Direct Leadsource is accused of violating the Pennsylvania law by using illegal telephone solicitations to market mortgage products to consumers – the largest-ever systematic effort to violate the Do Not Call program, the attorney general’s office said.
“As the economy and housing markets change in Pennsylvania and around the country, some mortgage companies are using aggressive tactics,” said Tom Corbett, the state’s attorney general. “Today’s consumer protection lawsuits are an important step to protect consumers from illegal conduct and send a clear message that lending companies must obey the law.”
Ruppersberger’s company, operating under the names Applied Financial and Financial Awards Center, used a call center in Gujarat, India, to place in excess of 500,000 sales calls to Pennsylvania consumers marketing various first and second mortgages, Corbett said.
“This is the most extensive campaign of telemarketing calls to consumers on the Do Not Call list ever investigated by my office,” Corbett said. “They invaded the homes of thousands of residents with unsolicited and unwanted phone calls, marketing mortgage loans that they were not licensed to sell.”
Ruppersberger and his business are not licensed by the Pennsylvania Department of Banking to sell mortgages in the commonwealth, Corbett said. The company also failed to register their telemarketing operation; called consumers who had previously asked not to be called again; called consumers after 9 p.m.; failed to identify itself to residents; and failed to register the company’s “fictitious” business names, Corbett said.
