Updated 3:30 p.m. Feb. 22
Virginia Attorney General Mark Herring joined Massachusetts and New York in suing Virginia-based bonding company Nexus Services Inc., alleging in the suit that its Libre by Nexus subsidiary “preys on consumers held in federal detention centers by offering to pay for consumers’ immigration bonds to secure their release.”
In exchange for those services, the suit alleges, “Libre demands large upfront fees and hefty monthly payments while concealing or misrepresenting the true costs of its services.”
Joined by the Consumer Financial Protection Bureau, the three states filed suit Monday against the company, the Libre subsidiary and its co-owners, CEO Micheal Donovan, Chief Financial Officer and Executive Vice President Richard Moore, and Nexus Services Director Evan Ajin, in the U.S. District Court for the Western District of Virginia. The suit alleges they violated the federal Consumer Financial Protection Act of 2010 and “engaged in deceptive and abusive acts or practices in connection with Libre’s offer of credit to consumers for their immigration bonds,” and that Nexus and the three individual defendants “knowingly or recklessly provided substantial assistance to Libre in its deceptive and abusive acts or practices.”
