indianz.com your internet resource indianz.com on facebook indianz.com on twitter indianz.com on Google+ indianz.com on soundcloud
phone: 202 630 8439
Fredericks Peebles & Morgan LLP
Advertise on Indianz.Com
Home > News > Headlines
Print   Subscribe
Blog: Internet lenders can longer hide behind tribal immunity

Filed Under: Business | Law | National
More on: cheyenne river sioux, ftc, immunity, payday loans
     

The Federal Trade Commission says Internet lenders in Indian Country must comply with federal consumer protection laws:
For years, a handful of sketchy payday lenders have been using purported affiliations with tribal lands to try to skirt federal and state laws. But courts and regulators have recently been cracking down on these operations, saying that a tribal connection does not shield a business from prosecution. One operation facing charges from the Federal Trade Commission has now agreed to pay nearly $1 million in penalties over charges that it illegally garnished borrowers’ wages and wrongfully sued them in tribal courts.

Back in 2011, the FTC sued Martin Webb, operator of various online payday lending operations, including Great Sky Financial and Western Sky, whose TV ads are likely familiar to regular viewers of cruddy daytime and late-night TV shows, for allegedly attempting to garnish borrowers’ wages without first obtaining a court order, in violation of the FTC Act.

These same companies were subsequently accused of suing borrowers in a South Dakota tribal court that had no jurisdiction over these loans. The tribal court has no jurisdiction over people who are not members of the tribe and who do not reside either on the reservation or elsewhere in South Dakota.

“Regardless of tribal affiliation, debt collectors must comply with federal law,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection.

Get the Story:
Chris Morran: Payday Lenders Can’t Use Tribal Affiliation To Garnish Wages Without Court Order (The Consumerist 4/11)

Related Stories:
Indian-owned online lender enters settlement with Connecticut (4/10)


Copyright © Indianz.Com
More headlines...

Latest Headlines:

Mark Trahant: Don't plan on getting sick if you're from Indian Country
Tiffany Midge: I shall joke as long as the grass grows and the rivers flow
Director of Office of Indian Energy deletes offensive Twitter account
States cheer decision on grizzly bears amid tribal concerns about hunts
Washington asks high court to overturn Yakama Nation treaty victory
New York Times editorial board reconsiders stance on racist trademarks
Colville Tribes remove council member a week before citizens go to polls
Marijuana firm promises big investments with help of ex-Seminole chair
Lumbee Tribe ordered to release voter list to opponents of chairman
National Indian Gaming Association chooses David Bean as vice chair
Eastern Cherokee citizen promoted to vice president of casino marketing
Tribes in Connecticut waiting on governor to sign bill for new casino
Secretary Zinke removes protections for grizzlies over tribal objections
Court sets final deadline for remaining payments from Cobell settlement
Mary Annette Pember: Indian Child Welfare Act strengthens our families
Peter d'Errico: Navajo authors offer fresh perspective on sovereignty
Native woman was jailed and forced to ride with assailant during trial
Ute Mountain Ute Tribe challenges new permit for uranium operation
Montana tribes get new member of Congress who pleaded to assault
Connecticut tribes welcome court decision favoring new casino law
Pueblo tribes dispute state's demand for $40M in gaming revenues
Mashpee Wampanoag Tribe remains confident of approval of casino
Nooksack Tribe accepting slot tickets while casino remains closed
Key House committee under fire for moving slowly on tribal agenda
Tribes go it alone on climate change as Trump team shifts priorities
Bryan Newland: President Trump's budget threatens tribal treaties
Steve Russell: The GI Bill changed the United States for the better
Harold Monteau: Democrats lack proactive agenda, proactive strategy
St. Regis Mohawk Tribe orders 20 non-citizens to leave reservation
Wilton Rancheria accused of working too closely with city on casino
Witness list for hearing on bill to reform the Indian Health Service
Arne Vainio: What does the princess want to be when she grows up?
Doug George-Kanentiio: 'Spirit Game' brings Iroquois lacrosse to life
Cronkite News: Navajo activist vows fight against racist NFL mascot
Eric Hannel: Addressing the health care crisis among Native Americans
Bill for tribal regalia at graduation ceremonies advances in California
Ramapough Lunaape Nation wins reversal of ruling on prayer camp
Mashpee Wampanoag Tribe still waits on casino ruling from Trump team
Another former leader of Winnebago Tribe pleads in gaming theft case
Supreme Court ruling poses hurdle for opponents of racist NFL mascot
Change the Mascot campaign responds to negative Supreme Court ruling
Secretary Zinke set for another hearing on Interior Department budget
Mark Trahant: Republicans write health reform bill behind closed doors
Jeff Grubbe: Agua Caliente Band focuses on protecting our groundwater
Steven Newcomb: Asserting our traditions in the era of Donald Trump
Shasta Dazen: 'Family Spirit' program incorporates our tribal traditions
Secretary Zinke shuffles top Indian Affairs officials at Interior Department
Choctaw Nation travels to Ireland to dedicate 'Kindred Spirits' sculpture
Nooksack Tribe closes doors to casino after being hit with federal order
Muscogee Nation asserts authority at allotment where casino was proposed
Mark Trahant: Dakota Access decision offers a chance to return to respect
Cheyenne River Sioux Tribe hails 'victory' in Dakota Access Pipeline case
Nooksack Tribe told to close casino amid leadership and citizenship feud
Kristi Noem: Enough is enough - It's time to fix the Indian Health Service
Second hearing scheduled on bill to reform the Indian Health Service
Trump nominee for appeals court seen as favorable to tribal interests
Terese Mailhot: We don't tell Native women how brilliant they really are
>>> more headlines...

Home | Arts & Entertainment | Business | Canada | Cobell Lawsuit | Education | Environment | Federal Recognition | Federal Register | Forum | Health | Humor | Indian Gaming | Indian Trust | Jack Abramoff Scandal | Jobs & Notices | Law | National | News | Opinion | Politics | Sports | Technology | World

Indianz.Com Terms of Service | Indianz.Com Privacy Policy
About Indianz.Com | Advertise on Indianz.Com

Indianz.Com is a product of Noble Savage Media, LLC and Ho-Chunk, Inc.