FTC Halts Credit Glory, Alleges $200M Credit Repair Scam

The Federal Trade Commission won a federal court order Monday temporarily shutting down Credit Glory and 16 related companies, alleging a credit repair scheme that bilked consumers out of nearly $200 million since 2016. The five principles named in the complaint are Alexander Brola, Liam Emery, Marko Petkovic, Joshua Curtis and David Naylor. Credit Glory did not immediately respond to a request for comment.

The FTC's complaint, filed in federal court, accuses the defendants of faking their ability to scrub negative items from consumer credit reports. According to the agency's press release, telemarketers working for the scheme posed as debt collectors when consumers called back. The companies collected illegal upfront fees to enroll customers, then charged recurring advance fees through a negative-option subscription model without clearly disclosing the recurring charges, the FTC alleged.

The court order freezes the defendants' assets and appoints a temporary receiver over the 17 corporate entities. The list includes Credit Glory LLC, which is separately incorporated in three states, along with Credit Sage LLC, Joy Credit Software LLC, Clerk Credit Systems LLC, Clerk Credit Software LLC, Standard Scores LLC, Collection Payments LLC, Collections Dispute LLC, Collections Expert LLC, Collections Support LLC, Credit Cop LLC, Dispute Collection LLC, Glorious Credit LLC and Joyful Credit LLC.