Consumer complaint received 2021-02-11 00:00:00
Product: Debt collection — Credit card debt
Issue: Attempts to collect debt not owed — Debt was result of identity theft
Company: Blitt and Gaines, P.C.
State: IL

Complaint narrative:
This is a complaint against XXXX  XXXX XXXX and Blitt & Gaines P.C. lawyer XXXX XXXX for violations of FDCPA 15 USC 1962 ; RICO Act 18 USC 1961, Hobbs Act 18 USC 1951 ( Extortion ) ; IL Collection Agency Act 225 ILCS 425/1, Fraud Upon the Court ; perjuries ( making false statements under oath ) lies to Federal Authorities ( CFPB ) ; unlawful withholding of earned commissions ; unjust enrichment and violations of Attorney Ethics Most individuals that work a job receive a salary and benefits, such as healthcare and retirement accounts, such as 401 ( k ) plans. Some industries, particularly certain jobs in the financial services sector, like XXXX  XXXX XXXX securitization scheme, work on commission. This means that they are paid based on their performance. In this case, an employee would receive a percentage of their income from commission generated from the amount of business they bring in for the firm. Cu The fact that XXXX  XXXX XXXX withhold this information before engaging potential employees ( misrepresented as " borrowers '' ) into a very profitable business scheme based solely on contractor 's performance, does not reveal them from the obligation to pay for services provided - to with : issue a promissory Note or any other documents which XXXX  XXXX XXXX digitize and sell to investors for {$12.00} per {$1.00} commission paid to so-called " borrowers ''. Currently this commission masqueraded as " debt '' is about 8 % of total revenue received by XXXX  XXXX XXXX from various trades backed by my identity while based on similar industry standards, like oil and gas, this commission must be at least 20 %. I performed my duties ( unknowingly since XXXX  lied to me ) as a contractor whose DATA generated XXXX  XXXX XXXX a windfall of profits, did not received any compensation due to XXXX  XXXX XXXX fraudulent conduct ; and currently have right to claim at least 20 % of {$6000.00} x 12 times = {$72000.00} profits received by XXXX  XXXX XXXX, which is about {$14000.00}. But instead of paying me this earned commission, I have to defend a baseless law suit filed by well-kniown racketeers with legal licenses, Blitt & Gaines, PC and their associate XXXX who lied six times on two pages claim. based on perjuries and obstruction of Justice while lack ANY evidence that any debt exists. 

On XX/XX/XXXX lawyer XXXX XXXX filed a frivolous and defamatory case XXXX XXXX on behalf of XXXX  XXXX XXXX, XXXX XXXX, as a Plaintiff ( XXXX  ) where she made following false statements : XXXX. XXXX XXXX stated that this is an action for damages that are within the jurisdiction limits of this Court This is a lie. The action filed by lawyer XXXX is not for damages but for additional revenue to XXXX who paid me for my financial services, to the wit my signature on the application in order to initiate a giant securitization scheme based on my personal information. But I didnt know that. I received a payment that was dressed up as a credit card. I never thought to bargain for a reasonable compensation for entering into a transaction that was the keystone of all the sales of all of the securities by XXXX and their subsidiaries. And I never thought about whether I wanted to be part of XXXX business venture whose purpose was to sell betting rights based upon reports about my transaction and whether I was making scheduled payments. Collection and enforcement of the obligation I created when I executed the application is the act of taking back the commission they paid to me. And because they want all of it back plus interest that leaves me with negative compensation for initiating a huge business venture and allowing the use of my name and reputation to be sold on the open market without my knowledge or consent. ( They get all the benefits, I get the shaft, emotional distress by defending a baseless lawsuit filed by a dishonest lawyer, and defamation of character ). 

As soon as I discovered XXXX scam with securitization, I immediately contacted XXXX  and filed several demands to validate this debt including complaints to CFPB. XXXX  and lawyer XXXX never responded to my direct questions if this credit card account was securitized ; failed to validate the debt and never provided me a copy of my application recorded as an asset on XXXX  account receivable. Each respond was either absurd runaround or a lie. 

Yet, despite pending debt validation disputes ( under the law, evasive and incomplete respond is not a respond at all ), lawyer XXXX filed a baseless claim on behalf of a Plaintiff who lacks any standing and who never suffered any damages ; deliberately submitted numerous false statements including a lie about non-pending disputes. 

I contact CFPB to demand XXXX  XXXX XXXX and lawyer XXXX provide me proof which particular damages suffered XXXX  if according to OCC Report on Derivatives XXXX  made at least {$12.00} per {$1.00} they paid me as a commission for my signature on the application ; proof that XXXX has my application recorded on their bookkeeping ledger as an ASSET on account receivable, file a copy of my application as it was recorded on XXXX account receivable with the case records ; state if XXXX personally reviewed all documents, particularly the part of XXXX ledger related to my so-called credit card account and who provided XXXX these records. Provide me and file with the Court proof that my account receivable was removed as an asset from XXXX  bookkeeping records after it was purportedly charged off, and a copy of this discharge, as required under GAAP. If my application was not recorded as an asset on XXXX  account receivable, please explain why XXXX failed to do so. 

2. Lawyer XXXX stated that her case files within jurisdiction of this Court. This is a lie. First, she intentionally misrepresented nature of my transaction with XXXX as collection of debt rather than confiscation of a commission in quasi contract for services I involuntarily and unknowingly performed for XXXX. Thus, this Court has no jurisdiction over the subject matter in the dispute. Second, XXXX is not the owner of my account thus has no standing to bring this case since they passed me money dressed as credit as one-time commission for services ; securitized data about my transaction ; sold securities to investors for 12 times profits ; and passed data about my transaction to third parties such as XXXX XXXX while my application is not recorded as an asset on account receivable with ANY company. This is the reason why lawyer XXXX failed to provide me proof of my application as recorded by XXXX  bookkeepers ; and attach the KEY evidence my application as recorded on XXXX  account receivable to her Complaint as well and proof of XXXX ownership. 

XXXX  XXXX XXXX was recently hit with a huge class action for filing frivolous collection cases while they securitize and transfer credit card accounts to XXXX XXXX while falsely claiming to be an owner of the debt which XXXX does not own ; and claiming fictitious damages while XXXX did not suffered any damages and does not own the credit card accounts after they were securitized and transferred elsewhere. 

I repeatedly asked XXXX   and lawyer XXXX to disclose if my credit card application was used by XXXX in their securitization scheme and transferred to third parties. XXXX  and XXXX repeatedly refused to answer my direct question if my application of credit was securitized by XXXX. 

I demand XXXX XXXX  XXXX and lawyer XXXX to respond if XXXX securitized my application and sold or otherwise transferred it to third parties. State the date when my application was securitized ; and provide me the name of the party to whom XXXX transferred these accounts to be held as assets on their bookkeeing ledger on account receivable as required by GAAP. 

3. Lawyer XXXX said that I applied and received a credit account which is owned and administered by Plaintiff XXXX  XXXX XXXX XXXX. Again, these statements are lies. I applied for a credit but my transaction with XXXX was totally different. First, it was not with XXXX  who acted as intermediary between me and certain undisclosed parties from whom XXXX borrowed money to pay me for services. Second, XXXX had no intention to extend me any credit. XXXX  paid me a small commission for MY financial services to THEM which resulted in 12 times windfall of profits ( $ XXXX {$72000.00} ) after XXXX  securitized my personal data ( identity theft ) and sold it to third parties. XXXX would prefer to pay me {$1.00} rather than {$6000.00}. But then how could they get me to sign a note for {$6000.00}? 

My account is not administered by XXXX, it is another lie. My payments are collected by third parties via lockbox agreements. Billing statements submitted by lawyer XXXX are not evidence of XXXX ownership of my debt, they are merely hearsay. They are not evidence if XXXX owns and administer my credit card account receivable on their ledger as an asset since here are no such accounts exists. When XXXX gets money from me they have no place to put it. They cant debit an account receivable that reflects ownership of my obligation because there is no account receivable on the ledger of any company. My payments constitute a return of the commission they paid to me an amount that they deemed reasonable. That means that their payment is evidence of the amount of commission to the me as a contractor that XXXX  deemed reasonable. Ask any lawyer what that could mean. 

In court, they only seek to increase their profits by initiating a frivolous collection while XXXX did not suffered any damages since XXXX  is not the owner of any account receivable where my application is recorded as an asset, after XXXX securitized and transferred all so-called credit card accounts to third parties. XXXX  now attempts to get from me additional payment to negate the consideration they paid me for the concealed transaction which brought XXXX a windfall of profits. Bear to repeat, these money was only temporary consideration for a transaction in which ALL players received all the benefit such as {$12.00} revenue per my {$1.00} commission by selling securities based on my data to third parties ; plus obtaining insurances for this data ; plus selling additional securities to default debt buyers plus receiving tax breaks and bailouts for damages XXXX never suffered. I am entitled for at least 20 % from these profits as a payment for MY services to XXXX. 

4. Lawyer XXXX claimed that I breached an Agreement by failing to make periodic payments as required. Bear to repeat, XXXX did not attach to her complaint ANY copies of any agreement evidencing that I agreed to make ANY payments to XXXX. Billing statements which are automatically generated by someones server are NOT evidence of my promises to pay anyone. I demand lawyer XXXX to explain why she did not attached the key evidence to her claim my purported agreement with purported creditor XXXX where I promised to pay XXXX  ; as well as my signed consent to participate in XXXX securitization scheme. I demand explanations why XXXX failed to provide me a copy my application along with evidence that XXXX has or had my application as an asset on their ledger as account receivable while I repeatedly requested it from XXXX and from XXXX. I request XXXX and XXXX  to highlight the part of my application where XXXX  disclosed the actual nature of this transaction securitization scheme and obtained my consent to participate in it. 

I didnt fail any agreements with XXXX  since they failed first by misrepresenting the nature of my transaction. While I was thinking that I applied for a credit card, XXXX seeks from me free financial services with negative compensation. Thus, here was no meeting of minds since XXXX  paid me with other people money ( borrowed from Federal Reserve or from investors ) and used my identity for unjust enrichment in their securitization scheme resulted in 12 times profits by selling my data on the open market without my knowledge or consent, without any disclosures to me, commonly known as involuntary servitude aka slavery. I demand XXXX to pay me royalties from all profits, no less than 20 %, or {$12000.00} which is reasonable compensation for my services ; plus treble damages for fraud ; treble damages for racket ; damages for emotional distress plus all damages and expenses to defend a baseless claim. 

5. Lawyer XXXX claimed that here is no unresolved billing disputes related to this account. This is a lie. Here are numerous unresolved disputes, starting from with demands to validate this debt which are still pending with CFPB. XXXX  and lawyer XXXX repeatedly refuse to respond my disputes particularly over XXXX  ownership of my account as their asset on XXXX  ledger ; the nature of my transaction ; and amount of profits received by XXXX from sales of my securitized data. Lawyer XXXX and XXXX never responded to my demands to disclose if my account was a subject of securitization by XXXX. Lawyer XXXX either lied to CFPB or ignored my questions. 

6. Lawyer XXXX attached an Affidavit from XXXX XXXX who also made numerous false and misleading statement with intent to defraud me and the Court. 

First, XXXX XXXX claimed to be a designated full-time employee of XXXX  XXXX XXXX, XXXX. Mrs. XXXX failed to disclose in which capacity she is employed by XXXX who has over XXXX designated employees including janitors. Second, Mr. XXXX failed to disclose her relationship to XXXX  bookkeeping records, particularly with credit card accounts receivables, while she merely said she is familiar with XXXX  record keeping practices. I demand lawyer XXXX to provide me Mrs. XXXX exact position with XXXX, ( aka if she is an accountant who maintain accounts receivable for XXXX  ; or auditor for such accounts or an account manager, ect ) ; and how she became familiar with XXXX record keeping practices ( for example, Mr. XXXX maintain credit card accounts receivable for XXXX  or Mrs. XXXX personally makes entries in such accounts, ect ) ; disclose if XXXX personally handled any accounts related to my transaction and provide an Affidavit where XXXX stated that she personally inspected my application as it recorded on XXXX  ledger account receivable as an asset. Please make sure Mrs. XXXX include her full Title and describe her duties relevant to her position with XXXX  which made XXXX competent to testify ; her employment address and contact information, so Mr. XXXX can be called as a witness in person before the Judge, which I will definitely demand. 

I demand Mrs. XXXX to disclose if XXXX securitized my so-called credit card accounts and sold or otherwise transferred it to third parties, particularly to XXXX XXXX. 

According to Mrs. XXXX sworn statement, Plaintiff certified that they are in possession and can produce the most recent monthly statement which is a hearsay evidence - while I repeatedly demand to produce my signed Application for Credit and prove that it was recorded as an asset on XXXX account receivable during all time in question. Bear to repeat, copies of monthly billing statements are not evidence of ownership of any debt ; do not constitute any promises to pay, and here is no proof that these monthly statements are actually coming from XXXX and not some third party company servers like XXXX or XXXX XXXX XXXX XXXX. 

In sum, lawyer XXXX lied at least six times in 2-pages claim ; attached an affidavit full of false statements from an unqualified witness since its unclear in which capacity Mrs. XXXX is employed by XXXX ; and how she obtained knowledge about my account as an asset on XXXX  account receivable. Lawyer XXXX refused to respond my direct questions regarding securitization and sales or transfers of credit card accounts by XXXX. Lawyer XXXX failed to attach the key evidence my executed application for credit where I promised to pay XXXX and where all terms of this transaction aka securitization were disclosed and agreed by me. 

Its time to start disbarment lawyer XXXX for her bluff since she try to get the money back that XXXX paid to borrowers in exchange for starting series of transactions in which unregulated securities were sold, on an infinite basis, to investors who were betting on future announcements of data performance by the issuer doing business under the name of a legally nonexistent trust because nothing had actually been entrusted to the named trustee of the named trust. They try to promote the myth that the debts exist and that there is a creditor who owns the debt. 

In fact, the process referred to as securitization is a process of liquidating any entry on the ledger of any company on which a receivable had appeared. Based on all evidence, including OCC reports ; and numerous Court cases here is neither the debt nor the owner of any debt owed by the borrowers like myself existed at the time of the collection. The filing of such collection is a malicious attempt to cover up a fraudulent scheme that was part direct fraud on investors and borrowers, and part Ponzi scheme. 

The goal of collection case filed by XXXX and XXXX was ( a ) to perpetuate the illusion of an existing established loan account receivable on the books and records of a valid legal creditor and ( b ) to generate funds as additional revenue the securitization players. In effect, each such collection is a bonus lawsuit i.e., where the proceeds will be used to pay bonuses and other compensation to people and companies who assisted in the scheme. The collection filed by lawyer XXXX is entirely devoted to generating revenue arising from fraud, deceit, and active concealment that exists up to and including the date of the writing of this Complaint. To put it another way, the fact that I stopped making scheduled payments because I demanded a validation of my debt from XXXX  ( which was never provided ) is not proof or even evidence that the prior history of payments were due or paid to anyone entitled to receive them. 

And the fact that I received money is not necessarily proof that a loan agreement was created. The payment of money was intended to be an inducement to me to become party to a fictional securitizations scheme about which I knew, and could know, nothing at all. The attempt to retrieve the money paid to me is based upon a plan of reducing the consideration paid me to less than XXXX thus nullifying even the quasi contract that might be construed to exist. 

I, without knowing it, was paying for the privilege of the securitization players to generate revenue geometrically larger than the amount of the initial payment to me while excluding me from any knowledge or benefits from the scheme. All the benefits of the real transaction flowed to the securitization and collection players while I have to defend a baseless defamatory claim based on false statements to steal from me even a small compensation ( about 8 % of the revenue generated by XXXX from sales of securities ( bets ) based on performance of DATA about my account ) All assumptions and presumptions to the contrary are completely wrong. Sales of securities was the only reason why a payment was made to me and if those reasons were disclosed to me, it is bringing into question whether there was a meeting of the minds to form any contract. I am entitled to equitable relief for entering into a contract based upon terms and conditions that were entirely actively concealed and hence unknown by me when I entered it and actively concealed and continued to be concealed as of today. 

Conclusion : I demand XXXX XXXX  XXXX and lawyer XXXX to provide me and file with the Court a copy of an application where I AGREED to pay ANYTHING to XXXX  XXXX XXXX ; highlight the part of this Application where XXXX  disclosed to me the REAL nature of my transaction sales of securities based on my personal data ; proof that this application is recorded as an asset on XXXX  account receivable ( here is a huge difference between credit card account and credit card account receivable ) where XXXX  deposited my payments ; disclose if my application and/or account was securitized by XXXX and transferred to any other parties ; disclose all parties to whom this account was transferred and when it was transferred ; provide me full Title for Mrs. XXXX position with XXXX  ; her contract information and how exactly she obtained knowledge about my account. I reserve my rights to demand more disclosures from XXXX and XXXX. 

Best Regards, XXXX XXXX

Company response to consumer: Closed with explanation