Attorney General Andy Beshear today announced that nearly 1,000 Kentucky small business owners will receive restitution from an AG lawsuit filed against a Michigan-based company who scammed them.
The Mandatory Poster Company Inc., which also does business as Corporate Records Service, was accused of sending Kentucky businesses an official-looking “Annual Minutes Form”“corporate minutes” work to business owners.
The form created the impression that the mailer was sent by a government entity or that Kentucky law required the purchase of the annual minutes, Beshear said.
“We filed this lawsuit and won restitution for these Kentucky businesses so they can focus on creating good jobs, and not worry about official looking scams,” Beshear said. “Corporate Records Service is one of a handful of companies my office is working to prevent from misrepresenting themselves to our business community.”
Beshear said at the end of October there will be another round of refunds sent to businesses who were scammed by Corporate Records Service.
The Attorney General’s Office received numerous complaints from state business owners saying that Corporate Records Service mailed misleading, deceptive or fraudulent information.
In response to these complaints, the Office of the Attorney General issued a Civil Investigative Demand (CID) on Corporate Records Service. Corporate Records Service failed to fully respond to the CID, causing the Attorney General to file a lawsuit against the company to produce the requested information.
According to the lawsuit, Corporate Records Service sent nearly 200,000 annual minutes mailers to Kentucky businesses, and nearly 2,200 businesses completed the form and paid the company’s $125 fee.
If consumers think they have been the target of a scam, they can contact the Attorney General’s Office of Consumer Protection at 502-696-5389.
Beshear said the first round of refund checks to small business owners were mailed the week of Oct. 1