Federal Jury Convicts Owner of Defunct “Collection Firm” for Fraudulent Scheme

Yesterday, a New York federal jury on Tuesday convicted the owner of a defunct debt collection firm over his alleged role in a $4.1 million fraud scheme involving fake arrest warrant threats against consumers.

John Williams, who owned Williams, Scott & Associates LLC, and operated the company out of Norcross, GA, was found guilty by a federal jury in Manhattan of conspiring to commit wire fraud. Williams faces up to 20 years in prison. His sentencing hearing is scheduled for October 28, 2016.

insideARM has covered this matter extensively over the past 20 months.

On July 2, 2014 we wrote about the Federal Trade Commission (FTC) obtaining a Temporary Injunction and Order Freezing assets.

On November 19, 2014 we wrote about the arrest of Williams and the criminal charges brought against him.

On November 21, 2014 we wrote about the responses from both DBA International and ACA International, publicly supporting the Federal Action against Mr. Williams and labeling the activities fraudulent and a scam.

Finally, on  January 8, 2016 we wrote about the FTC obtaining a permanent injunction against the final defendant in the case against Williams, Scott & Associates, LLC. An earlier order, in April 2015, banned John Williams, Williams, Scott & Associates, LLC; and WSA, LLC from debt collection and ordered them to pay $3.9 million.

insideARM Perspective

insideARM supports the efforts of the FTC, CFPB, and Federal prosecutors to rid the ARM industry of criminals and scam artists that use the disguise of a collection agency or debt buyer to carry out harmful and illegal activity.

Scams like this do significant harm to consumers. The subsequent stories about the cases also negatively impact the ARM industry. The entire industry is tarnished by the actions of the individual in this case.