The Consumer Financial Protection Bureau (CFPB) has quickly become one of the most active agencies advancing the Trump administration’s pullback on prosecuting corporations, as it dropped yet another consumer protection lawsuit against a financial services company Wednesday.
The CFPB’s latest move was to dismiss its case against Reliant Holdings Inc. and its CEO, Robert Kane, with prejudice, meaning the charges cannot be refiled. The CFPB filed its lawsuit in September in U.S. District Court for the Western District of Pennsylvania, accusing Reliant, doing business as Horizon Card Services, of tricking its customers into signing up for what they believed to be credit cards that could be used anywhere. In fact, the cards were lines of credit with high fees that could only be used to purchase goods from Reliant’s online store, the Horizon Outlet. The CFPB accused Kane and Reliant of violating the Consumer Financial Protection Act of 2010.
