OLYMPIA – The Washington State Department of Financial Institutions (DFI) joins state and national organizations in support of National Consumer Protection Week March 6-12, 2011 (www.ncpw.gov). DFI’s website (www.dfi.wa.gov)provides access to consumer education information, links to additional resources and details on how DFI can help consumers.
Leading up to Consumer Protection Week, Washington’s DFI joined the Federal Trade Commission in last week’s “Operation Empty Promises” (www.ftc.gov/opa/2011/03/emptypromises.shtm), a multi-agency initiative focused on identifying and taking action against fraudsters promising jobs and “be your own boss” opportunities to consumers.
Each year, DFI’s examination and enforcement teams fulfill the agency’s mission to “regulate financial services to protect and educate the public and promote economic vitality” as they investigate cases of consumer and financial fraud and take action against the offending organizations.
“DFI is committed to seeing that Washington’s consumers have access to safe and sound financial products — from savings accounts and investment opportunities to home mortgages,” DFI Director Scott Jarvis said. “It’s important for consumers to ask questions and verify the answers they get so they know they’re working with a licensed professional authorized to sell the product. Washington consumers can verify licenses, check to see if the agency has taken action against a company and even file a complaint to report fraudulent activity — either online at DFI’s Web site or by calling our toll-free number.”
DFI’s dedication to consumer protection is exemplified in numbers — the number of investigations completed by DFI’s examination and enforcement teams, the number of complaints received, the number of actions taken and the number of dollars exacted from companies on behalf of consumers.
DFI’s Division of Consumer Services, 2010:
- 271 New Investigations
- 1,879 Complaints Received
- 806 R&Cs & R&Rs (complaints that were closed with a Resolution & Closure or Resolution and Request for Action – and Respondent complied with the Request for Action)
- 415 Actions (includes Temporary Cease & Desist, Statement of Charges, Consent Orders, and Final Orders)
- Restitution: $160,605.93
- Restitution Escheated to State: $17,068.40
- Fines: $793,243.28
DFI’s Division of Securities also investigated several cases and took action in 2010:
- 129 administrative actions
- 1 civil action
- 4 criminal actions filed
- 93,583 victims
- Dollars lost: $2,003,420,300
- $2,050,238,000 returned to Washington investors in the auction rate securities cases
- An additional $3,701,287,850 nationwide in the Wells Fargo case
- Dollars of restitution ordered in criminal cases: $11,739,282.56
- Fines collected:$5,043,813.70
Consumer Beware! DFI’s Securities Division notes trends in consumer fraud
- Top financial fraud topics: Unregistered sales of securities, securities fraud, affinity fraud, fraud against seniors
- Top financial products involved in schemes: promissory notes, real estate investments, oil & gas investments
- Top problems involving registered firms: conversion by agents, suitability
Keep up to date on companies and products to watch out for by signing up for DFI’s consumer alerts at www.dfi.wa.gov
Find out if DFI has taken action against a company online at www.dfi.wa.gov.