Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 1 of 14

UNITED STATES DISTRICT COURT 

SOUTHERN DISTRICT OF NEW YORK 

FEDERAL TRADE COMMISSION, 

Plaintiff, 

V. 

RCG ADVANCES, LLC, et al., 

Defendants. 

Case No. 1 :20-cv-04432-JSR 

ORDER FOR PERMANENT 

INJUNCTION AS TO DEFENDANT 

JONATHAN BRAUN 

On September 27, 2023, the Court issued its opinion granting summary judgment to the 

FTC on all its claims and granting the FTC' s proposed permanent injunction with slight 

modifications. The terms of the permanent injunction are as follows: 

FINDINGS OF FACT AND CONCLUSIONS OF LAW 

1. The Court has jurisdiction over the subject matter of this case and personal jurisdiction over 

Defendant Jonathan Braun, pursuant to 28 U.S.C. §§ 1331, 1337(a), and 1345, and 15 U.S.C. 

§§ 45(a), 45(m)(l)(A), 53(b), 56(a), 57(b), and 6822(a). Defendant Jonathan Braun transacts 

or has transacted business in this District and throughout the United States. 

2. Venue in the Southern District of New York is proper under 15 U.S.C. § 53(b) and 28 U.S.C. 

§§ 1391(b) and (c). 

3. The FTC is an independent agency of the United States Government created by statute, which 

authorizes the FTC to commence this district court civil action by its own attorneys. 15 

U.S.C. §§ 41-58. The FTC enforces Section 5(a) of the FTC Act, 15 U.S.C. § 45(a), which 

prohibits unfair or deceptive acts or practices in or affecting commerce. The FTC also 

enforces Section 521(a) of the GLB Act, 15 U.S.C. § 6821(a)(2), which prohibits "making a 

Page 1 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 2 of 14

false, fictitious, or fraudulent statement or representation" "to obtain or attempt to obtain" 

from a customer "customer information of a financial institution." 

4. Section 13(b) of the FTC Act, 15 U.S.C. § 53(b), authorizes this Court to grant injunctive relief as 

the Court may deem appropriate to halt violations of any provision of law enforced by the FTC. 

5. This Court concludes that the danger of future violations by Defendant Jonathan Braun justifies 

the issuance of injunctive relief. Specifically, it is proper in this case to issue a permanent 

injunction that: (a) bans Defendant Jonathan Braun from marketing or collecting on certain 

financing products as well as engaging in debt collection activities; (b) prohibits Defendant 

Jonathan Braun from making various misrepresentations regarding any product or service; (c) 

prohibits Defendant Jonathan Braun from making charges with consumers' express, informed 

consent; ( d) requires Defendant Jonathan Braun to remove all negative information from 

consumers' credit reports; (e) prohibits Defendant Jonathan Braun from obtaining consumers' 

financial information by using false, fraudulent, or fictitious statements or otherwise violating the 

GLB Act; (f) prohibits Defendant Jonathan Braun from disclosing, using, or benefitting from 

customer information of any person that any Defendant obtained before the entry of this Order in 

connection with their marketing and sale of mortgage assistance relief services; and (g) provides 

other ancillary relief necessary to assist the FTC and the Court in monitoring Defendant Jonathan 

Braun's compliance with such a permanent injunction. 

6. Pursuant to Federal Rule of Civil Procedure 65(d) the provisions of this Order are binding upon 

Defendant Jonathan Braun, his successors and assigns, and his officers, agents, employees and 

attorneys, and upon those persons or entities in active concert or participation with them who 

receive actual notice of this Order by personal service or otherwise. 

Page 2 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 3 of 14

7. Entry of this Order is in the public interest. 

DEFINITIONS 

For the purpose of this Order, the following definitions apply: 

A. "Clear(ly) and Conspicuous(ly)" means that a required disclosure is difficult to miss (i.e., 

easily noticeable) and easily understandable by ordinary Consumers, including in all of the 

following ways: 

1. In any communication that is solely visual or solely audible, the disclosure must be made 

through the same means through which the communication is presented. In any 

communication made through both visual and audible means, such as a television 

advertisement, the disclosure must be presented simultaneously in both the visual and 

audible portions of the communication even if the representation requiring the disclosure 

is made in only one means. 

2. A visual disclosure, by its size, contrast, location, the length of time it appears, and other 

characteristics, must stand out from any accompanying text or other visual elements so 

that it is easily noticed, read, and understood. 

3. An audible disclosure, including by telephone or streaming video, must be delivered in a 

volume, speed, and cadence sufficient for ordinary Consumers to easily hear and 

understand it. 

4. In any communication using an interactive electronic medium, such as the Internet or 

software, the disclosure must be unavoidable. 

Page 3 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 4 of 14

5. The disclosure must use diction and syntax understandable to ordinary Consumers and 

must appear in each language in which the representation that requires the disclosure 

appears. 

6. The disclosure must comply with these requirements in each medium through which it is 

received, including all electronic devices and face-to-face communications. 

7. The disclosure must not be contradicted or mitigated by, or inconsistent with, anything 

else in the communication. 

8. When the representation or sales practice targets a specific audience, such as children, the 

elderly, or the terminally ill, "ordinary Consumers" includes reasonable members of that 

group. 

B. "Consumer" means a natural person, an organization or other legal entity, including a 

corporation, partnership, sole proprietorship, limited liability company, association, 

cooperative, or any other group or combination acting as an entity. 

C. "Covered Products or Services" means any product or service represented, expressly or by 

implication, to provide or assist in providing, directly or indirectly, funds in exchange for 

future receivables, revenues, or proceeds. 

D. "Debt" means any obligation or alleged obligation to pay money arising out of a transaction, 

whether or not such obligation has been reduced to judgment. 

E. "Debt Collection Activities" means any activities of a Debt Collector to collect or attempt to 

collect, directly or indirectly, a Debt owed or due, or asserted to be owed or due. 

F. "Debt Collector" means any person who uses any instrumentality of interstate commerce or 

the mail in any business the principal purpose of which is the collection of any Debts, or who 

Page 4 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 5 of 14

regularly collects or attempts to collect, directly or indirectly, Debts owed or due or asserted 

to be owed or due another. The term also includes any creditor who, in the process of 

collecting its own Debts, uses any name other than its own which would indicate that a third 

person is collecting or attempting to collect such Debts. The term also includes any person to 

the extent such person collects or attempts to collect any Debt that was in default at the time it 

was obtained by such person. 

G. "Express, Informed Consent" means an affirmative act communicating unambiguous assent 

to be charged, made after receiving and in close proximity to a Clear and Conspicuous 

Disclosure of all material information related to the charge, including (a) the product, service, 

fee, or interest associated with the charge; (b) the specific amount of the charge; and ( c) 

whether the charge is recurring and the frequency of recurrence. 

H. "Person" mean a natural person, an organization or other legal entity, including a 

corporation, partnership, sole proprietorship, limited liability company, association, 

cooperative, or any other group or combination acting as an entity. 

ORDER 

BAN 

1. IT IS THEREFORE ORDERED that Defendant Jonathan Braun, whether acting directly or 

indirectly, is permanently restrained and enjoined from: 

A. Advertising, marketing, promoting, offering, providing, arranging for, assisting any 

Consumer in receiving or applying for, or collecting or attempting to collect payment or 

other consideration in connection with, any Covered Product or Service; 

B. Assisting others engaged in advertising, marketing, promoting, offering, providing, 

Page 5 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 6 of 14

arranging for, assisting any Consumer in receiving or applying for, or collecting or 

attempting to collect payment or other consideration in connection with, any Covered 

Product or Service; and 

C. Participating in any Debt Collection Activities. 

PROHIBITION AGAINST MISREPRESENTATIONS 

11. IT IS FURTHER ORDERED that Jonathan Braun, his officers, agents, employees, and 

attorneys, and all others in active concert or participation with any of them, who receive actual 

notice of this Order, whether acting directly or indirectly, in connection with advertising, 

marketing, promoting, distributing, servicing, offering, or selling any product or service, are 

permanently restrained and enjoined from misrepresenting, or assisting others in 

misrepresenting, expressly or by implication: 

A. Any requirements for obtaining a product or service; 

B. The existence, amount, or timing of any fees or charges, or the total cost; 

C. Any benefit of any product or service, including any amount of money a Consumer might 

receive or obtain; 

D. What circumstances would constitute a breach of contract; 

E. That any Person can participate in any activities banned by Section I of this Order or 

otherwise prohibited by this Order; 

F. That a Consumer has a legal obligation to pay any Person; 

G. Any other material fact, including any material restrictions, limitations, or conditions; or 

any material aspect of performance, efficacy, nature, or central characteristics. 

Page 6 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 7 of 14

PROHIBITION AGAINST UNAUTHORIZED CHARGES 

Ill. IT IS FURTHER ORDERED that Jonathan Braun, his officers, agents, employees, and 

attorneys, and all other persons in active concert or participation with any of them, who 

receive actual notice of this Order, whether acting directly or indirectly, are permanently 

restrained and enjoined from causing debits or withdrawals to be made from any Consumer's 

bank or other financial account, or from billing any Consumer for any charge, without the 

Consumer's Express, Informed Consent. 

PROVISIONS RELATING TO CREDIT REPORTING 

IV. IT IS FURTHER ORDERED that Defendant Jonathan Braun, within thirty (30) days of the 

date of entry of this Order, shall, for any negative or derogatory information or Debt owed or 

purported to be owed by any customer that Defendant Jonathan Braun or any Person owned or 

controlled, directly or indirectly, by Defendant Jonathan Braun reported or caused to be 

reported to a credit reporting agency prior to entry of this Order, Defendant Jonathan Braun 

shall request that each such credit reporting agency delete such negative or derogatory 

information or Debt from the customer's credit reporting file. 

INJUNCTION RELATED TO CUSTOMER FINANCIAL INFORMATION 

V. IT IS FURTHER ORDERED that Defendant Jonathan Braun, his officers, agents, 

employees, and attorneys, and all other persons in active concert or participation with any of 

them, who receive actual notice of this Order, whether acting directly or indirectly, are hereby 

permanently restrained and enjoined from: 

A. Obtaining or attempting to obtain customer information of a financial institution 

(including but not limited to bank account routing number, account number, and log-in 

Page 7 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 8 of 14

credentials) from a Consumer by making false, fictitious, or fraudulent statements or 

representations to any Consumer or financial institution; or 

B. Violating the Gramm-Leach-Bliley Act, 15 U.S.C. §§ 6801-6809, §§ 6821-6827. 

CUSTOMER INFORMATION 

VI. IT IS FURTHER ORDERED that Defendant Jonathan Braun, his officers, agents, 

employees, and attorneys, and all other persons in active concert or participation with any of 

them, who receive actual notice of this Order are permanently restrained and enjoined from 

directly or indirectly: 

A. Failing to provide sufficient customer information to enable the FTC to efficiently 

administer consumer redress. If a representative of the FTC requests in writing any 

information related to redress, Defendant Jonathan Braun must provide it, in the form 

prescribed by the FTC, within 14 days; 

B. Disclosing, using, or benefitting from customer information, including the name, address, 

telephone number, email address, social security number, other identifying information, or 

any data that enables access to a customer's account (including a credit card, bank 

account, or other financial account), that any Defendant obtained prior to entry of this 

Order in connection with the offering of small business funding products; and 

C. Failing to destroy such customer information in all forms in their possession, custody, or 

control within 30 days after receipt of written direction to do so from a representative of 

the FTC. 

Page 8 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 9 of 14

D. Provided, however, that customer information need not be disposed of, and may be 

disclosed, to the extent requested by a government agency or required by law, regulation, 

or court order. 

ORDER ACKNOWLEDGMENTS 

VII. IT IS FURTHER ORDERED that Defendant Jonathan Braun obtain acknowledgments of 

receipt of this Order: 

A. Defendant Jonathan Braun, within 7 days of entry of this Order, must submit to the FTC 

an acknowledgment of receipt of this Order sworn under penalty of perjury. 

B. For 10 years after entry of this Order, Defendant Jonathan Braun for any business that he, 

individually or collectively with any other Defendants, is the majority owner or controls 

directly or indirectly, must deliver a copy of this Order to: (1) all principals, officers, 

directors, and LLC managers and members; (2) all employees having managerial 

responsibilities for conduct specified in Sections I, II, and III, and all agents and 

representatives who participate in conduct specified in Sections I, II, and III; (3) any 

business entity resulting from any change in structure as set forth in the Section titled 

Compliance Reporting. Delivery must occur within 7 days of entry of this Order for 

current personnel. For all others, delivery must occur before they assume their 

responsibilities. 

C. From each individual or entity to which Defendant Jonathan Braun delivered a copy of 

this Order, he must obtain, within 30 days, a signed and dated acknowledgment of receipt 

of this Order. 

Page 9 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 10 of 14

COMPLIANCE REPORTING 

VIII. IT IS FURTHER ORDERED that Defendant Jonathan Braun make timely submissions to 

the FTC: 

A. One year after entry of this Order, Defendant Jonathan Braun must submit a compliance 

report, sworn under penalty of perjury: 

1. Defendant Jonathan Braun must: ( a) identify the primary physical, postal, and email 

address and telephone number, as designated points of contact, which representatives 

of the FTC may use to communicate with him; (b) identify all of his businesses by all 

of their names, telephone numbers, and physical, postal, email, and Internet addresses; 

( c) describe the activities of each business, including the goods and services offered, 

the means of advertising, marketing, and sales, and the involvement of any other 

Defendant (which he must describe ifhe knows or should know due to his own 

involvement); ( d) describe in detail whether and how he is in compliance with each 

Section of this Order, including providing an itemized list of judgments, liens, and/or 

negative or derogatory information or Debt reported to credit reporting agencies 

subject to Section IV and the disposition of each; and ( e) provide a copy of each Order 

Acknowledgment obtained pursuant to this Order, unless previously submitted to the 

FTC. 

2. Additionally, Defendant Jonathan Braun must: (a) identify all telephone numbers and 

all physical, postal, email and Internet addresses, including all residences; (b) identify 

all business activities, including any business for which he performs services whether 

as an employee or otherwise and any entity in which he has any ownership interest; 

Page 10 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 11 of 14

and ( c) describe in detail his involvement in each such business, including title, role, 

responsibilities, participation, authority, control, and any ownership. 

B. For 20 years after entry of this Order, Defendant Jonathan Braun must submit a 

compliance notice, sworn under penalty of perjury, within 14 days of any change in the 

following: 

1. Defendant Jonathan Braun must report any change in: (a) any designated point of 

contact; or (b) the structure of any entity that he has any ownership interest in or 

controls directly or indirectly that may affect compliance obligations arising under this 

Order, including: creation, merger, sale, or dissolution of the entity or any subsidiary, 

parent, or affiliate that engages in any acts or practices subject to this Order. 

2. Additionally, Defendant Jonathan Braun must report any change in: (a) name, 

including aliases or fictitious name, or residence address; or (b) title or role in any 

business activity, including any business for which he performs services whether as an 

employee or otherwise and any entity in which he has any ownership interest, and 

identify the name, physical address, and any Internet address of the business or entity. 

C. Defendant Jonathan Braun must submit to the FTC notice of the filing of any bankruptcy 

petition, insolvency proceeding, or similar proceeding by or against him within 14 days of 

its filing. 

D. Any submission to the FTC required by this Order to be sworn under penalty of perjury 

must be true and accurate and comply with 28 U.S.C. § 1746, such as by concluding: "I 

declare under penalty of perjury under the laws of the United States of America that the 

Page 11 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 12 of 14

foregoing is true and correct. Executed on: __ " and supplying the date, signatory's 

full name, title (if applicable), and signature. 

E. Unless otherwise directed by a FTC representative in writing, all submissions to the FTC 

pursuant to this Order must be emailed to DEbrief@ftc.gov or sent by overnight courier 

(not the U.S. Postal Service) to: Associate Director for Enforcement, Bureau of 

Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW, 

Washington, DC 20580. The subject line must begin: FTC v. RCG Advances, LLC, 

Matter No. X200045. 

RECORD KEEPING 

IX. IT IS FURTHER ORDERED that Defendant Jonathan Braun must create certain records for 

20 years after entry of the Order, and retain each such record for 5 years. Specifically, 

Defendant Jonathan Braun, for any business that he, individually or collectively with any 

other Defendants, is a majority owner or controls directly or indirectly, must create and retain 

the following records: 

A. accounting records showing the revenues from all goods or services sold; 

B. personnel records showing, for each person providing services, whether as an employee or 

otherwise, that person's: name; addresses; telephone numbers; job title or position; dates 

of service; and (if applicable) the reason for termination; 

C. records of all consumer complaints and refund requests, whether received directly or 

indirectly, such as through a third party, and any response; 

D. all records necessary to demonstrate full compliance with each provision of this Order, 

including all submissions to the FTC; and 

Page 12 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 13 of 14

E. a copy of each unique advertisement or other marketing material. 

COMPLIANCE MONITORING 

X.. IT IS FURTHER ORDERED that, for the purpose of monitoring Defendant Jonathan 

Braun's compliance with this Order and any failure to transfer any assets as required by this 

Order: 

A. Within 14 days of receipt of a written request from a representative of the FTC, Defendant 

Jonathan Braun must: submit additional compliance reports or other requested 

information, which must be sworn under penalty of perjury; appear for depositions; and 

produce documents for inspection and copying. The FTC is also authorized to obtain 

discovery, without further leave of court, using any of the procedures prescribed by 

Federal Rules of Civil Procedure 29, 30 (including telephonic depositions), 31, 33, 34, 36, 

45, and 69. 

B. For matters concerning this Order, the FTC is authorized to communicate directly with 

Defendant Jonathan Braun. Defendant Jonathan Braun must permit representatives of the 

FTC to interview any employee or other person affiliated with any Defendant who has 

agreed to such an interview. The person interviewed may have counsel present. 

C. The FTC may use all other lawful means, including posing, through its representatives, as 

Consumers, suppliers, or other individuals or entities, to Defendant Jonathan Braun or any 

individual or entity affiliated with him, without the necessity of identification or prior 

notice. Nothing in this Order limits the FTC's lawful use of compulsory process, 

pursuant to Sections 9 and 20 of the FTC Act, 15 U.S.C. §§ 49, 57b-l. 

Page 13 of 14 
Case 1:20-cv-04432-JSR Document 183 Filed 10/30/23 Page 14 of 14

D. Upon written request from a representative of the FTC, any consumer reporting agency 

must furnish consumer reports concerning Defendant Jonathan Braun, pursuant to Section 

604(1) of the Fair Credit Reporting Act, 15 U.S.C. §1681b(a)(l). 

RETENTION OF JURISDICTION 

XI. IT IS FURTHER ORDERED that this Court retains jurisdiction of this matter for purposes 

of construction, modification, and enforcement of this Order. 

SO ORDERED. 

Dated: NewYork,NY 

October .Jj_, 2023 United States District Judge 

Page 14 of 14