A debt collector company, Blackstone Legal, its associated companies and its owners, Ryan and Mitchell Evans, are facing a permanent ban from the debt collection business as a result of an FTC lawsuit charging that they deceived and harassed consumers to collect debts the consumers did not owe.
In February 2025, the FTC charged Blackstone Legal and its associated companies and owners with convincing consumers to pay fake debts. The consumers were falsely told they were going to be sued, their wages garnished and their credit damaged, according to the FTC.
The defendants have agreed to a proposed settlement order, filed in the U.S. District Court for the Central District of California. If approved the order would permanently ban the defendants from the debt collection industry. In addition, it would:
- Prohibit the defendants from making any material misrepresentations about any good or service.
- Prohibit the defendants from using false, fictitious, or fraudulent representations to get consumers' financial information, including, but not limited to, credit card numbers, debit card numbers, bank account numbers, routing numbers and consumer credit reports, and from impersonating any business.
- Require the defendants to turn over most of their assets, including the contents of numerous bank and investment accounts.
The order contains a total monetary judgment of $8,254,368, which is partially because suspended based on the defendants' inability to pay the full amount. If the defendants are found to have lied to the FTC about their financial status, the full judgment will be immediately payable.
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