Consumer complaint received 2024-08-29
Product: Money transfer, virtual currency, or money service — Foreign currency exchange
Issue: Fraud or scam — 
Company: NAVY FEDERAL CREDIT UNION (NC)

Report to Consumer Financial Protection Bureau ( CFPB ) XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, NC XXXX XX/XX/XXXX Consumer Financial Protection Bureau ( CFPB ) XXXX XXXX XXXX XXXX  XXXX, IA XXXX Subject : Report of Violations of the Truth in Lending Act, the Securities Exchange Act of 1933, and Theft by Deception To Whom It May Concern, I am writing to report violations involving NAVY FEDERAL CREDIT UNION et al that pertain to the Truth in Lending Act ( TILA ), the Securities Exchange Act of 1933, and potential criminal activities that may include theft by deception. The details of the violations are as follows : XXXX. Violations of the Truth in Lending Act ( TILA ) : - Violation of the XXXX Right of Rescission : According to TILA regulations, consumers have the right to rescind certain credit transactions, including home equity loans and refinances, within a three-day period. It has come to my attention that [ individual/entity ] failed to provide the necessary disclosures required by TILA, including the right to rescind within the specified XXXX window, which constitutes a violation of federal law. 
- Details of Violation : - Transaction Date : XX/XX/XXXX - Parties Involved : XXXX XXXX, Navy Federal Credit Union et al - Specific Violations : Lack of clear disclosure regarding the XXXX rescission period, failure to provide the required notices, etc. 
- Evidence : See attached XXXX. Violations of the Securities Exchange Act of 1933 : - Misrepresentation and Omission of Material Facts : NAVY FEDERAL CREDIT UNION et al has engaged in conduct that violates the Securities Exchange Act of 1933 by offering or selling securities through false statements, misrepresentations, or omissions of material facts necessary for a potential investor to make an informed decision. The misleading information provided included, but was not limited to, financial projections, the actual financial condition of the business, and the risks associated with the investment. 
- Use of Registered Mail for Security Fraud : On XX/XX/XXXX, at XXXX XXXX  XXXX XXXX XXXX, a registered security was sent via registered mail to XXXX XXXX, using tracking number RE XXXX US. This transaction was verified through the XXXX XXXX XXXX XXXX XXXX  XXXX ) located at XXXX XXXX XXXX XXXX, XXXX, DC XXXX. The registered mail was delivered on XX/XX/XXXX, at XXXX XXXX  and was signed for by XXXX XXXX. Following the delivery confirmation, a period of XXXX  days was given, presumably to comply with regulatory requirements or to allow for a response or action. 
The mailing was confirmed again on XX/XX/XXXX, at XXXX XXXX  XXXX XXXX XXXX. This act constitutes a use of the U.S. mail system to facilitate fraudulent activities in violation of federal law, specifically under 18 U.S.C. 1341 ( Mail Fraud ). 
- Details of Violation : - Security Involved : Registered security see tracking attached - Date of Issuance or Offering : XX/XX/XXXX - Nature of Misrepresentation or Omission : no response from Navy Federal Credit Union - Evidence : [ Please see attached XXXX XXXX records, delivery confirmation, and evidence of the XXXX period granted ] XXXX. Theft by Deception : - Description of Theft by Deception : There is reason to believe that Navy Federal Credit Union et al engaged in theft by deception, which involves unlawfully taking another persons property or money by intentionally deceiving them. In this case, the deception involved providing false information or misleading statements about not receiving a registered security to gain an unlawful advantage or financial benefit. 
- Relevant U.S. Code ( USC ) Laws : - 18 U.S.C. 1341 ( Mail Fraud ) : This statute criminalizes schemes to defraud or obtain money or property through false or fraudulent pretenses using the XXXX XXXX XXXX or any private or commercial interstate carrier. The use of registered mail for sending the security falls under this provision. 
- 18 U.S.C. 1343 ( Wire Fraud ) : This law covers fraud schemes that use electronic communications, such as telephone, email, or the internet, to defraud another party. If the deceptive practices included the use of interstate wires or electronic communications to convey false or misleading information, this statute may apply. 
- 18 U.S.C. 1348 ( Securities and Commodities Fraud ) : This law specifically addresses fraud related to securities and commodities, prohibiting any scheme to defraud or obtain money or property through false or fraudulent pretenses in connection with any commodity or security. If the theft by deception was related to securities, this statute would be relevant. 
- 18 U.S.C. 1028A ( Aggravated Identity Theft ) : This statute can apply if the theft by deception involved the unlawful use of someone else 's identity, including names, Social Security numbers, or other identifying information, in furtherance of committing fraud. 
- Details of Violation : - Date of Incident : XX/XX/XXXX XXXX XXXX - Parties Involved : XXXX XXXX and XXXX XXXX XXXX Nature of Deception : Security was received traded and stolen - Evidence : please see attached Demand for Action : I am demanding that XXXX XXXX provide GAAP-compliant accounting records showing all accounts payable and all accounts receivable, as well as a forensic audit on any articles or securities that may have been assigned as part of my accounts. Additionally, I request details about any loan contract or account that was assigned, including the pool of assets it was placed into, whether it was factored or included in any factoring deals. 
Furthermore, I request that XXXX XXXX provide my percentage ownership per SEC regulations regarding security trading on the primary and secondary markets. 

Request for Action : I respectfully request that the CFPB investigate the above-mentioned violations and take appropriate enforcement action to prevent further harm to consumers and investors. I am willing to provide additional information and cooperate fully with any investigation. 
Enclosures : - Mailing, Tracking and receipt of delivery Thank you for your attention to this matter. 
Sincerely, XXXX XXXX XXXX