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US Fidelis settles with 11 states

US Fidelis settles with 11 states

November 9th, 2010 in News

ST. LOUIS (AP) - A suburban St. Louis company that was once among the nation's top marketers of auto service contracts has reached a settlement with 11 states that bars the company from telemarketing or selling in those states.

The settlement was announced Monday between US Fidelis of Wentzville, Mo., and attorneys general in Arkansas, Idaho, Iowa, Kansas, North Carolina, Ohio, Oregon, Pennsylvania, Texas, Washington and Wisconsin.

The company operated by brothers Darain and Cory Atkinson filed for bankruptcy in March amid accusations it used illegal telemarketing ploys and sold worthless warranties. Federal prosecutors continue to investigate.