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How Letitia James star is rising | City & State NY
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New York attorney general threatens Southfield-based Credit Acceptance with Martin Act violations
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New York attorney general threatens Southfield-based Credit Acceptance under potent state law
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A spokesman for Attorney General Letitia James declined to comment. James is widely seen as a possible successor to Gov. Andrew Cuomo.
It wouldn’t be the first time an attorney general used the Martin Act as a ticket to Albany. Nearly two decades ago former Attorney General Eliot Spitzer dusted off the century-old law to force Wall Street firms to cough up big sums for misleading investors after the dot-com bubble popped.
Credit Acceptance, a tempting target for regulators, said attorneys general in New Jersey, Maryland and Mississippi have served subpoenas. Last year the Massachusetts attorney general sued it, alleging fraud. The federal Consumer Financial Protection Bureau also is investigating the company after receiving more than 1,400 complaints about it in the past three years.