Holtzclaw, Satey v Great Seneca Financial Corporation, Wolpoff & Abramson
Lawsuit Against Debt Collection Law Firm Alleges Fraudulent Debt Collection
Two California consumers, Shane Satey and Kenneth Holtzclaw, brought a class action against Great Seneca Financial Corp. and the debt collection law firm of Wolpoff & Abramson, alleging unfair and fraudulent debt collection and credit reporting practices and also that Great Seneca was collecting debts in California for months without being properly registered as a California corporation.
For several months, nationwide debt collector Great Seneca Financial Corp. allegedly collected debts in California without a California license. Hundreds, maybe thousands, of California consumers who paid money to Great Seneca to settle debts may be entitled to relief.
The ordeal began with Mr. Shane Satey, a Southern California resident and a victim of identity theft. An identity thief stole Mr. Satey's Chase credit card information and used it to charge up over $8,000 at a local retailer in Glendale, California. Although Mr. Satey sent a copy of the police report to Chase, Chase credit-reported the alleged debt and also sold it to debt collectors. In late 2005, debt collector Great Seneca purchased the debt and sued Mr. Satey, who hired the La Crescenta consumer protection firm Brennan, Wiener & Associates to obtain justice for the identity theft. On the very day when Brennan, Wiener & Associates contacted Great Seneca's attorneys, Wolpoff & Abramson, Great Seneca mysteriously dismissed the case without comment.
A few months later, Great Seneca sued Kenneth Holtzclaw on an alleged debt which was many years older than the four-year limitations period for collecting debts in California. Seeking information about his rights, Mr. Holtzclaw coincidentally contacted Brennan, Wiener & Associates. Brennan, Wiener & Associates learned that Great Seneca was not licensed or registered as a California corporation, so Brennan, Wiener & Associates filed an answer and cross-complaint against Great Seneca and Wolpoff & Abramson. Suddenly, Great Seneca became properly registered as a California corporation on April 10, 2006, although it had been collecting debts in California for several months before then.
Mr. Holtzclaw and Mr. Satey filed the class action complaint in Los Angeles Superior Court against Great Seneca and Wolpoff & Abramson for alleged unfair and fraudulent debt collection practices.
The lawsuit seeks to represent any California consumer that paid money to Great Seneca to settle debts.
