Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 1 of 13 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF PENNSYLVANIA 

FEDERAL TRADE COMMISSION, et al., 

Plaintiffs, 

v. 

AMERICAN FUTURE SYSTEMS, INC., et al., 

Defendants. 

Case No. 20-cv-2266-JHS 

STIPULATED ORDER FOR 

PERMANENT INJUNCTION 

Plaintiff, the Federal Trade Commission (the “Commission” or “FTC”), filed its 

Complaint for Permanent Injunction and Other Equitable Relief (“Complaint”), for a permanent 

injunction, and other equitable relief in this matter, pursuant to Section 13(b) of the Federal 

Trade Commission Act (“FTC Act”), 15 U.S.C. § 53(b), on May 13, 2020. Plaintiffs FTC and 

the Commonwealth of Pennsylvania, by Acting Attorney General Michelle A. Henry (the 

“Commonwealth”), filed their First Amended Complaint for Permanent Injunction and Other 

Equitable Relief (“Amended Complaint”) on January 21, 2021, pursuant to Section 13(b) of the 

FTC Act, 15 U.S.C. § 53(b), and Section 201-4 of the Pennsylvania Unfair Trade Practices and 

Consumer Protection Law. Plaintiffs and defendants International Credit Recovery, Inc., 

Richard Diorio Jr., and Cynthia Powell (together, “Stipulating Defendants”) stipulate to the entry 

of this Stipulated Order for Permanent Injunction (“Order”) to resolve all matters in dispute in 

this action between them. 

THEREFORE, IT IS ORDERED as follows: 

1 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 2 of 13 

FINDINGS 

1. This Court has jurisdiction over this matter. 

2. The Amended Complaint alleges that Stipulating Defendants participated in 

deceptive acts or practices in violation of Section 5 of the FTC Act, 15 U.S.C. § 45, and in unfair 

or deceptive acts or practices in violation of 73 P.S. § 201-3 in the collection of Debts (as defined 

below) allegedly owed for subscriptions to newsletters and books. 

3. Stipulating Defendants neither admit nor deny any of the allegations in the 

Amended Complaint, except as specifically stated in this Order. Only for purposes of this action, 

Stipulating Defendants admit the facts necessary to establish jurisdiction. 

4. Stipulating Defendants waive any claim that they may have under the Equal 

Access to Justice Act, 28 U.S.C. § 2412, concerning the prosecution of this action through the 

date of this Order, and agree to bear their own costs and attorneys’ fees. 

5. Stipulating Defendants waive all rights to appeal or otherwise challenge or 

contest the validity of this Order. 

DEFINITIONS 

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

A. “Stipulating Defendants” means all of the Individual Stipulating Defendants and the 

Corporate Stipulating Defendants, individually, collectively, or in any combination: 

1. “Corporate Stipulating Defendant” means INTERNATIONAL CREDIT 

RECOVERY, INC., also d/b/a ICR (“ICR”), and its successors and assigns. As of this 

date, ICR has already ceased doing business. 

2 
 

Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 3 of 13 

2. “Individual Stipulating Defendants” means RICHARD DIORIO, JR., and 

CYNTHIA POWELL. Because ICR is no longer engaged in business, as of this date, 

neither Diorio nor Powell is actively conducting ICR operations, and neither individual is 

presently engaged in any debt collection profession. 

B. “AFS Defendants” means AMERICAN FUTURE SYSTEMS, INC., also d/b/a 

Progressive Business Publications, Progressive Business Publications, Inc., and Center for 

Education & Employment Law, and PROGRESSIVE BUSINESS PUBLICATIONS OF NEW 

JERSEY, INC., also d/b/a Progressive Business Publications, Progressive Business Publications, 

Inc., and Center for Education & Employment Law, and their successors and assigns, and 

EDWARD M. SATELL, individually, collectively, or in any combination. 

C. “Charge,” “Charged,” or “Charging” means any attempt to collect money or other 

consideration from a consumer or other obligor or alleged obligor. 

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. The 

term excludes any Debts owed or due, or asserted to be owed or due, to the Individual 

Stipulating Defendants in their personal capacity. 

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 

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 its own name or any name other than its own that would indicate that a third 

3 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 4 of 13 

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. “Debtor” means any Person obligated or allegedly obligated to pay any Debt, as well as 

that Person’s officer, director, employee, agent, manager, or administrator. 

H. “Person” 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. 

ORDER 

I. BAN ON DEBT COLLECTION ACTIVITIES 

IT IS ORDERED that the Stipulating Defendants are permanently restrained and 

enjoined from engaging in or participating in Debt Collection Activities, whether directly or 

through an intermediary. 

II. CUSTOMER INFORMATION 

IT IS FURTHER ORDERED 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. 

III. COOPERATION 

IT IS FURTHER ORDERED that Stipulating Defendants must fully cooperate with 

representatives of each Plaintiff in this case and in any investigation related to or associated with 

the transactions or the occurrences that are the subject of the Complaint. Such Stipulating 

Defendants must provide truthful and complete information, evidence, and testimony. Individual 

Defendants must appear for interviews, discovery, hearings, trials, and any other proceedings 

4 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 5 of 13 

that a Plaintiff representative may reasonably request upon 5 days written notice, or other 

reasonable notice, at such places and times as a Plaintiff representative may designate, without 

the service of a subpoena. 

IV. ORDER ACKNOWLEDGMENTS 

IT IS FURTHER ORDERED that Stipulating Defendants obtain acknowledgments of 

receipt of this Order: 

A. Each Stipulating Defendant, within seven days of entry of this Order, must submit to each 

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

B. For five years after entry of this Order, each Individual Stipulating Defendant for any 

business that such Individual Stipulating Defendant, individually or collectively with any other 

Stipulating Defendants, is the majority owner or controls directly or indirectly, and Corporate 

Stipulating Defendant, 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 related to the subject matter of this Order and all agents and representatives who 

participate in conduct related to the subject matter of this Order; and (3) any business entity 

resulting from any change in structure as set forth in the section below entitled Compliance 

Reporting. Delivery must occur within seven 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 a Stipulating Defendant delivered a copy of this 

Order, that Stipulating Defendant must obtain, within 30 days, a signed and dated 

acknowledgment of receipt of this Order. 

5 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 6 of 13 

V. COMPLIANCE REPORTING 

IT IS FURTHER ORDERED that Stipulating Defendants make timely submissions to 

Plaintiffs: 

A. One year after entry of this Order, each Stipulating Defendant must submit to each 

Plaintiff a compliance report, sworn under penalty of perjury: 

1. Each Stipulating Defendant must: (a) identify the primary physical, postal, and 

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

representatives of Plaintiffs may use to communicate with Stipulating Defendant; 

(b) identify all of that Stipulating Defendant’s businesses of which Stipulating 

Defendants own a majority by all of their names, telephone numbers, and physical, 

postal, email, and website addresses; (c) describe the activities of each business, 

including the goods and services offered, the means of advertising, marketing, sales, and 

collection, and the involvement of any other defendant (which Individual Stipulating 

Defendants must describe if they know or should know due to their own involvement); 

(d) describe in detail whether and how that Stipulating Defendant is in compliance with 

each Section of this Order; and (e) provide a copy of each Order Acknowledgment 

obtained pursuant to this Order, unless previously submitted to Plaintiffs. 

2. Additionally, each Individual Stipulating Defendant must: (a) identify all 

telephone numbers and all physical, postal, email and website addresses, including all 

residences; (b) identify all business activities, including any business for which such 

Individual Stipulating Defendant performs services whether as an employee or otherwise 

and any entity in which such Individual Stipulating Defendant has any ownership 

interest; and (c) describe in detail such Individual Stipulating Defendant’s involvement in 

6 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 7 of 13 

each such business, including title, role, responsibilities, participation, authority, control, 

and any ownership. 

B. For 10 years after entry of this Order, each Stipulating Defendant must submit to each 

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

the following: 

1. Each Stipulating Defendant must report any change in: (a) any designated point of 

contact; or (b) the structure of any Corporate Stipulating Defendant or any entity that a 

Stipulating Defendant 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, each Individual Stipulating Defendant 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 such Individual Stipulating 

Defendant performs services whether as an employee or otherwise and any entity in 

which such Individual Stipulating Defendant has any ownership interest, and identify the 

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

C. Each Stipulating Defendant must submit to each Plaintiff notice of the filing of any 

bankruptcy petition, insolvency proceeding, or similar proceeding by or against such Stipulating 

Defendant within 14 days of its filing. 

D. Any submission 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 foregoing is true and correct. 

7 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 8 of 13 

Executed on: _____” and supplying the date, signatory’s full name, title (if applicable), and 

signature. 

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

the Commission 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. American Future Systems, Inc., 1723085. 

Unless otherwise directed by a Commonwealth representative in writing, all submissions to the 

Commonwealth pursuant to this Order must be mailed to: Office of the Attorney General, 

attention: Deputy Attorney General, Bureau of Consumer Protection, 1600 Arch Street, Third 

Floor, Philadelphia, Pennsylvania 19103. 

F. Stipulating Defendants expressly consent to the sharing of any and all documents 

submitted as part of their compliance reporting to either Plaintiff with the other Plaintiff. 

VI. RECORDKEEPING 

IT IS FURTHER ORDERED that Stipulating Defendants must create certain records for 

10 years after entry of this Order, and retain each such record for five years. Specifically, each 

Individual Stipulating Defendant for any business that such Individual Stipulating Defendant, 

individually or collectively with any other Stipulating 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; 

8 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 9 of 13 

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

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

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

including all submissions to Plaintiffs. 

VII. COMPLIANCE MONITORING 

IT IS FURTHER ORDERED that, for the purpose of monitoring Stipulating Defendants’ 

compliance with this Order: 

A. Within 14 days of receipt of a written request from a representative of either Plaintiff, 

each Stipulating Defendant 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. Either Plaintiff 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, representatives of each Plaintiff are authorized to 

communicate directly with each Stipulating Defendant. Stipulating Defendant must permit 

representatives of each Plaintiff to interview any employee or other Person affiliated with any 

Stipulating Defendant who has agreed to such an interview. The Person interviewed may have 

counsel present. 

C. Either Plaintiff may use all other lawful means, including posing, through its 

representatives as consumers, suppliers, or other individuals or entities, to Stipulating Defendants 

or any individual or entity affiliated with Stipulating Defendants, without the necessity of 

identification or prior notice. Nothing in this Order limits either Plaintiff’s lawful use of 

compulsory process. 

9 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 10 of 13 

D. Upon written request from a representative of either Plaintiff, any consumer reporting 

agency must furnish consumer reports concerning Individual Stipulating Defendants, pursuant to 

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

VIII. RETENTION OF JURISDICTION 

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

purposes of construction, modification, and enforcement of this Order. 

SO ORDERED this 23rd day of March , 2023. 

/s/Joel H. Slomsky, J. 

UNITED STATES DISTRICT JUDGE 

SO STIPULATED AND AGREED: 

FOR PLAINTIFF FEDERAL TRADE COMMISSION: 

Digitally signed by AMY 

HOCEVAR AMY HOCEVAR Date: 2023.03.22 16:23:06 

-04'00' Date: 3/22/23

AMY C. HOCEVAR (Ohio Bar #0075510) 

DEREK E. DIAZ (Ohio. Bar #0062480) 

CHRISTIAN M. CAPECE (W.V. Bar #10717) 

MARIS K.V. SNELL (Florida Bar #125585) 

Federal Trade Commission 

1111 Superior Avenue, Suite 200 

Cleveland, Ohio 44114 

Hocevar Phone: 216.263.3409 

Diaz Phone: 216.263.3421 

Capece Phone: 216.263.3419 

Snell Phone: 216.263.3412 

Fax: 216.263.3426 

ahocevar@ftc.gov 

ddiaz@ftc.gov 

ccapece@ftc.gov 

msnell@ftc.gov 

10 
 

 

Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 11 of 13 

FOR PLAINTIFF COMMONWEALTH OF PENNSYLVANIA OFFICE OF ATTORNEY 

GENERAL 

Michelle A. Henry 

Acting Attorney General 

T4BSBI"&'SBTDI Date: 

SARAH A.E. FRASCH (PA ATTORNEY I.D. NO. 203529) 

CHIEF DEPUTY ATTORNEY GENERAL 

JOHN M. ABEL (PA ATTORNEY I.D. NO. 47313) 

SENIOR DEPUTY ATTORNEY GENERAL 

15th Floor, Strawberry Square 

Harrisburg, Pennsylvania 17120 

Frasch Phone: 717.497.5123 

Abel Phone: 717.497.5931 

Fax: 717.705.3795 

sfrasch@attorneygeneral.gov 

jabel@attorneygeneral.gov 

11 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 12 of 13 
Case 2:20-cv-02266-JHS Document 297 Filed 03/23/23 Page 13 of 13 

FOR DEFENDANT INTERNATIONAL CREDIT RECOVERY, INC.: 

DEFENDANT RICHARD DIORIO JR.: 

Richard Diorio Jr. P Date: -------

DEFENDANT CYNTHIA POWELL: 

Date: ______ _ 

Cynthia Powell 

12