Delaware Authorities Reach Settlement With Michigan Company - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Delaware Authorities Reach Settlement With Michigan Company

Posted: 08/14/2017 14:43:00 -04:00 Updated:

DOVER, Del. (AP/WBOC)- Delaware authorities say they have reached a settlement with a Michigan-based company accused of engaging in deceptive business practices.

The settlement announced Monday is the second in two years involving The Mandatory Poster Agency Inc., doing business as the Delaware Council for Corporations.

The three brothers who run the business entered into a cease-and-desist agreement with Delaware last year after selling corporate forms with misleading materials under another company name, Corporate Records Service.

Officials say the scam involved sending a mailing resembling an official Delaware government document so unsuspecting Delaware-registered businesses would pay $125 for unnecessary corporate forms.

Authorities say the new settlement includes payments of $175,000 in penalties suspended from the earlier settlement, and $15,375 in new penalties. The remaining $384,625 of the new penalty is suspended.

All civil penalties collected as part of the settlement will go to Delaware’s Consumer Protection Fund, which pays for the Attorney General Office’s work on consumer fraud and deceptive trade practice matters and other consumer-oriented investigations and legal actions.

 

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