Virginia Attorney General Ken Cuccinelli's office announced it has reached settlements with two affiliated mortgage loan modification companies that were accused of illegally charging advance fees to clients seeking foreclosure rescue services.
Virginia Beach, Va.-based Rysnglo (RISE’-en-glow) Financial Management and Los Angeles-based Mae Global Enterprises will make restitution of $248,200 and pay the state $110,000 in civil penalties, attorney fees and costs. The companies allegedly charged fees of up to $15,000 for loan modifications that never came through.
According to the attorney general’s complaint, consumers’ payments passed through Rysnglo to Mae Global, which was supposed to provide the services. The settlement requires approval of a Virginia Beach Circuit Court judge.