Colorado Attorney General John Suthers has filed a lawsuit accusing a financial-services company, its managing member and a former managing member of using deceptive advertising that claimed a false affiliation with federal agencies.
Mailers sent by Englewood- based Assurity Financial Services solicited consumers in several states, including Colorado, to apply for refunds of their mortgage-insurance premiums, escrow accounts and funding fees, according to the complaint in Denver District Court.
The mailers gave the appearance Assurity was affiliated with the U.S. Department of Veterans Affairs, the U.S. Department of Housing and Urban Development, and the homeowners’ lenders.
Assurity managing member Calvin Hamler and former managing member Troy Hamler also were named in the suit. The company ceased operations in February. It previously had offices in Arizona, Nevada, Washington, Oregon, California, Idaho and Florida.
Denver attorney Rick Accomazzo, who is representing the Hamlers and Assurity, could not be reached for comment.
“This case is particularly troubling because when homeowners receive mail that purports to be an official notice, they tend to take them seriously,” said Mike Sac cone, spokesman for the attorney general’s office.
The mailings allegedly gave consumers the false impression that they needed to act quickly. In some cases, the mailings also allegedly informed homeowners they were in default when they were not.
Over the past several years, the Colorado Division of Real Estate has launched investigations into advertising practices similar to those of Assurity. The division was not involved in the Assurity case.
“Staff members receive deceptive mailers and other industry professionals will file complaints about advertising issues with us,” said Marcia Waters, the agency’s director. “I think a lot of consumers right away think it’s a government-issued document, and that’s what prompts them to contact the people.”
Margaret Jackson: 303-954-1473 or mjackson@denverpost.com
