Lyft To Pay $300,000 To Resolve Claims It Illegally Operated In Some Areas Of New York

Lyft To Pay $300,000 To Resolve Claims It Illegally Operated In Some Areas Of New York

Nearly a year after the New York Attorney General’s office and state insurance regulators filed a lawsuit accusing ride-sharing app Lyft of violating state law in certain areas, the company has agreed to pay $300,000 to resolve the complaint. [More]

CFPB Fines Mortgage Company $20M For Pushing Customers Into Spending More Than They Had To

CFPB Fines Mortgage Company $20M For Pushing Customers Into Spending More Than They Had To

While a report earlier this year suggested that consumers don’t spend nearly enough time shopping for the right mortgage, that doesn’t mean lenders are off the hook for purposefully steering potential homeowners into costlier mortgages. Because doing so will land a company in hot water with federal regulators. Just ask RPM Mortgage and its top executive, who must now pay $20 million for their allegedly deceptive practices. [More]

34 Million Takata Airbags Declared Defective, More Recalls To Come

34 Million Takata Airbags Declared Defective, More Recalls To Come

After months of resisting federal regulators’ push for a national recall of vehicles containing defective Takata-produced airbags that could spew shrapnel when deployed, the Japanese auto parts maker announced today that it has declared an estimated 34 million vehicles defective because of the potentially deadly safety devices. The declaration is the first step in what will likely be the county’s largest recall of a consumer product. [More]

Black & Decker has agreed to pay a $1.57 million fine for failing to report issues with two of its electric lawnmowers to the CPSC.

Black & Decker To Pay $1.57M Penalty For Failing To Report Defects Of Lawnmower That Started On Its Own

Under federal law, manufacturers, distributors and retailers are required to immediately report information regarding possible safety defects to the Consumer Product Safety Commission within 24 hours of obtaining reasonable supporting evidence. That 24-hour window allegedly turned into 11 years for Black & Decker and now the company must pay a nearly $1.6 million fine for failing report safety issues related to an electric lawnmower that started spontaneously, injuring at least two consumers. [More]

(Roger Schultz)

Brazil Suspends Uber, Uber Keeps Driving

Car-hailing app Uber has racked up another municipality on its list of places where the service has been banned, yet drivers remain on the roads anyway. That distinction belongs to the entire nation of Brazil, where a judge has ruled that providing rides to strangers is the exclusive right of licensed taxi services. [More]

(Steven Depolo)

Executives & Loan Officers Must Pay $600K For Being Part Of Illegal Mortgage Kickback Scheme

Nearly five months after Wells Fargo and JPMorgan Chase agreed to pay more than $35 million – including $11.1 million in redress to affected consumers – for their part in an illegal mortgage kickback scheme, the purported masterminds behind the “pay-to-play” arrangement are finally facing action from federal regulators for their shady dealings. [More]

(Misfit Photographer)

CFPB Fines Regions Bank $7.5M For Collecting Illegal Overdraft Fees

Each year consumers spend nearly $32 million in exorbitant overdraft fees to their banks and credit unions without fully understanding the way in which these fees work or how much they spend on each overdraft. Today, the Consumer Financial Protection Bureau reminded banks that using consumers’ lack of knowledge to collect more fees isn’t acceptable by imposing a $7.5 million fine against Regions Bank for unlawful overdraft practices. [More]

(TheTruthAbout)

Mortgage Servicer Must Refund Consumers $48M For Array Of Deceptive Practices

Every once in a while government agencies team up to take down unscrupulous operations that prey on financially vulnerable consumers. Such was the case this week when the Consumer Financial Protection Bureau and the Federal Trade Commission took action against a mortgage servicer that engaged in a assortment of deceptive practices often resulting in consumers losing their homes. [More]

(This Year's Love)

Military Allotment Processor Must Refund Servicemembers $3.1M For Charging Hidden Fees

A company aimed at preserving the financial well-being of deployed servicemembers by processing payments to creditors on the consumers’ behalf instead contributed to customers’ financial distress by charging millions of dollars in hidden fees, the Consumer Financial Protection Bureau alleges in a new complaint. [More]

Dutch Prosecutors Open Criminal Investigation Into Uber Following Violations Of Banned Service

Dutch Prosecutors Open Criminal Investigation Into Uber Following Violations Of Banned Service

Uber’s latest hurdle to provide service in Europe, where many cities and countries have banned the ride-sharing service, comes in the form of a criminal investigation by Dutch prosecutors. [More]

Corinthian Colleges Fined $30M Over Falsified Job Placement Rates At Heald College

Corinthian Colleges Fined $30M Over Falsified Job Placement Rates At Heald College

The Department of Education continued its crackdown on deceptive for-profit college practices Tuesday by levying a $30 million fine against embattled Corinthian Colleges Inc. – operator of Everest University, Heald College and WyoTech – over the use of misstated and inaccurate job placement rates to recruit students. [More]

(Adam Reker)

FCC Fines CenturyLink $16M, Intrado Communications $1.4M For Actions During Massive 911 Outage

Last month the Federal Communications Commission ordered Verizon to pay $3.4 million for failing to alert authorities of a preventable programming error that left nearly 11 million people in seven states without access to emergency services for six hours in 2014. While Verizon’s fine was decidedly hefty, it pales in comparison to the $16 million penalty the agency just levied against CenturyLink for the same 911 outage. [More]

(David Transier)

FAA Once Again Fines Southwest Airlines For Maintenance Related Violations

For the second time in the last 12 months, Southwest Airlines is facing another fine from the Federal Aviation Administration because of safety issues; this time totaling $328,550. [More]

(Liz Wise)

PayPal Must Pay $7.7M For Processing Transactions In Violation Of U.S. Sanctions

Each year, PayPal processes billions of dollars in transactions. Apparently some of those payments didn’t exactly sit well with the U.S. government and now the company must pay $7.7 million for violating certain sanctions. [More]

(Mike Mozart)

Walmart Stops Contesting $7,000 Fine For Worker Killed By Black Friday Shoppers In 2008

After six years and millions of dollars, Walmart plans to stop fighting a $7,000 fine imposed by the U.S. Occupational Safety and Health Administration related to the death of an employee during Black Friday. [More]

(Mike Mozart)

Verizon To Pay $3.4 Million For Not Notifying Officials Of Massive 911 Service Outage

In April 2014 nearly 11 million people in seven states lost access to emergency services when a software programming error resulted a six-hour long 911 outage. The Federal Communications Commission determined in October that the lengthy outage could have easily been prevented, and today the agency began placing the blame by fining Verizon $3.4 million for failing to alert authorities. [More]

Germany Bans Uber For Second Time, Fines Company $264,825 For Each Violation

Germany Bans Uber For Second Time, Fines Company $264,825 For Each Violation

Uber’s fight to transport customers in Germany hit yet another roadblock today as it was banned from operating within the country for the second time in 12 months. And this time, if the company breaks the imposed injunction, it can expect to pay a hefty to the tune of $264,825 per violation. [More]

Takata To Be Fined $14K Per Day Until It Cooperates With Airbag Defect Investigation

Takata To Be Fined $14K Per Day Until It Cooperates With Airbag Defect Investigation

Officials with Japanese auto parts manufacturer Takata Corp. have continuously said they would assist U.S. regulators in their investigation regarding millions of potentially defective airbags that can spew pieces of shrapnel at passengers upon deployment. But the company doesn’t appear to be keeping its word and now faces a $14,000 per day fine until it hands over documents and other data pertinent to the investigation into airbags that have been linked to at least five deaths. [More]