CashCall Accuses CFPB Of ‘Rug Pull’ Over $157M Judgment Talks
By CU Today Staff —
SACRAMENTO, Calif.--Lender CashCall Inc. is asking a California federal judge to vacate a $134 million restitution order after accusing the CFPB of walking away from talks to reduce a total $157 million enforcement judgment, Law360 reported.
According to Law360, CashCall said the negotiations included behind-the-scenes friction over its hiring of appellate lawyer Paul Clement, claiming the CFPB’s top lawyer was initially angry the company had brought Clement into the case.
The dispute stems from the CFPB’s long-running action over CashCall’s high-interest online lending program. The CFPB said the Ninth Circuit affirmed the judgment, which included $134.1 million in restitution and $33.3 million in civil penalties.
Bloomberg Law reported CashCall is now arguing the Bureau’s decision to abandon the deal talks should undo the restitution order, while the CFPB’s own case page notes CashCall had previously taken the judgment fight to the U.S. Supreme Court after the Ninth Circuit ruling.
Originally reported by CU Today.