DOJ Targets Payday Lender Utilizing RICO
On June 22, 2015, the usa AttorneyвЂ™s workplace for the Eastern District of Pennsylvania filed an information charging Adrian Rubin of Jenkintown, PA, with: (1) one count of conspiracy to break RICO, 18 U.S.C. В§ 1962(d); (2) one count of conspiracy to commit mail fraudulence and cable fraudulence, 18 U.S.C. В§ 371; (3) two counts of mail fraudulence, 18 U.S.C. В§ 1341; and (4) aiding and abetting mail fraudulence, 18 U.S.C. В§ 2. in line with the recharging document, between 1998 and 2012, Rubin owned, controlled, financed, and/or struggled to obtain numerous companies that issued short-term вЂњpaydayвЂќ loans вЂ“ each of which allegedly flouted state laws and regulations to show a profit.
The RICO Allegations
The RICO allegations against Rubin consist principally, yet not solely, of RubinвЂ™s alleged involvement in three major payday lending tasks: (1) a вЂњrent-a-bankвЂќ scheme to offer pay day loans in breach of state legislation, (2) moving of financing operations to circumstances that is вЂњusury friendlyвЂќ in order to make loans in states that prohibit usury; and (3) a вЂњrent-a-tribeвЂќ scheme to prevent usury regulations. Read more