Minnesota Suspends ICS Collection Agency License

by Sonya Smith-Valentine on June 12, 2009

The Minnesota Department of Commerce has temporarily suspended the collection agency license of International Collection Services (ICS) for allegedly withholding clients’ money.  The Commerce office said that ICS had failed to remit its clients’ money within 30 days of collection, as required by state law. The Department of Commerce alleged that ICS used the cash to fund operations.   

Commerce executed a search warrant to obtain financial records of ICS because ICS refused to grant access to its records, another violation of state law.The department received complaints from two clients of ICS alleging they had not received money owed to them after ICS had collected on accounts due.  Based on the complaints, investigators conducted an audit of the company’s trust accounts and allege that ICS has misappropriated over $125,000 from clients within the past three years.

A hearing is scheduled for June 29 to  making the license suspension permanent.

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