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Auto coverage firm to pay state $125,000

Auto coverage firm to pay state $125,000

April 26th, 2011 in News

Missouri Attorney General Chris Koster says the owner of a former vehicle warranty company has agreed to pay the state $125,000 to settle a lawsuit.

Koster claimed that a St. Charles-based company called Dealers Warranty LLC used deceptive post cards and automated phone calls to get people to buy vehicle breakdown coverage. He says the company then made it hard for them to get refunds. He says the company began operating under the name Mogi in 2009 before ultimately closing.

Koster said the settlement approved Monday calls for company owner Brian Marino to pay the state $125,000 in restitution and civil penalties. A fund is being set up to provide refunds to customers.