WASHINGTON—The Federal Trade Commission moved to add two new defendants to an ongoing case against a California-based student debt relief operation shuttered pursuant to a court order obtained by the Commission in November 2018.
The scheme allegedly bilked consumers out of millions of dollars using false promises that they could reduce their monthly payments, or eliminate or reduce their student loan debt, the FTC said.
The proposed new defendants, Capital Sun Investments, LLC, a Wyoming firm based in California, and its manager, Jimmy Calderon, are alleged to have been part of the deceptive operation, which targeted tens of thousands of consumers trying to obtain lower monthly payments or forgiveness of their student loan debts.