Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 1 of 31

Agency decision

Ask Donna

What actually matters in this document.

Text

UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF FLORIDA

CASE NO. 12-CV-14373-DLG

FEDERAL TRADE COMMISSION,

Plaintiff,

A+ FINANCIAL CENTER, LLC, a Florida

limited liability company, also doing business as

ACCELERATED FINANCIAL CENTERS,

LLC,

ACCELERATED ACCOUNTING SERVICES

LLC, a Florida limited liability company,

CHRISTOPHER L. MIANO, individually and

as the managing member of Accelerated

Accounting Services LLC, and

DANA M. MIANO, individually and as the

managing member of A+ Financial Center, LLC,

Defendants.

STIPULATED FINAL JUDGMENT AND

ORDER FOR PERMANENT INJUNCTION

On October 23, 2012, Plaintiff, the Federal Trade Commission ("FTC"), filed its

Complaint [D.E. 1] for permanent injunction and other relief pursuant to Sections 13(b) and 19

ofthe Federal Trade Commission Act ("FTC Act"), 15 U.S.C. §§ 53(b) and 57b, and the

Telemarketing and Consumer Fraud and Abuse Prevention Act ("Telemarketing Act"), 15

U.S.C. §§ 6101-6108, charging Defendants A+ Financial Center, LLC, Accelerated Accounting

Services, LLC, Christopher L. Miano, and Dana M. Miano with violating Section 5 of the FTC

Act, 15 U.S.C. § 45, and the FTC's Telemarketing Sales Rule ("TSR"), 16 C.P.R. Part 310.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 2 of 31

PlaintiffFTC and Defendants have all agreed to the entry of this Stipulated Final Judgment and

Order for Permanent Injunction ("Order") by this Court to resolve all matters of dispute between

them in this action.

NOW, THEREFORE, Plaintiff FTC and Defendants, through their respective counsel,

having filed a joint motion requesting the Court to enter this Order,

IT IS HEREBY ORDERED, ADJUDGED AND DECREED as follows:

FINDINGS

This Court has jurisdiction over the subject matter and the parties.

Venue is proper as to all parties in the Southern District ofFlorida.

This is an action by the FTC instituted under Sections 13(b) and 19 ofthe FTC

Act, 15 U.S.C. §§ 53(b) and 57b, the Telemarketing Act, 15 U.S.C. §§ 6101-6108, and the TSR,

16 C.P.R. Part 310. Pursuant to these Sections of the FTC Act and the Telemarketing Act, the

Commission has the authority to seek the relief contained herein.

Defendants' activities are or were in or affecting commerce, as defined in the FTC

Act, 15 U.S.C. § 44.

Defendants are Telemarketers and/or sellers for the purposes of the TSR.

The FTC's Complaint states a claim upon which relief may be granted against

Defendants under Sections 5(a)(l), 13(b), and 19 ofthe FTC Act, 15 U.S.C. §§ 45(a)(1), 53(b),

and 57b; Section 6(b) of the Telemarketing Act, 15 U.S.C. § 6105(b); and the TSR, 16 C.P.R.

Part 310.

Defendants have waived any and all rights that may arise under the Equal Access

to Justice Act, 28 U.S.C. § 2412, amended by Pub. L. 104-121, 110 Stat. 847, 863-64 (1996),

pertaining to any claim by the FTC arising out of this case.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 3 of 31

The FTC and Defendants shall each bear their own costs and attorneys' fees

incurred in this action.

This Order is in addition to, and not in lieu of, any other civil or criminal remedies

that may be provided by law.

Plaintiff FTC and Defendants waive all rights to seek appellate review or

otherwise challenge or contest the validity of this Order. Defendants further waive and release

any claim they may have against the FTC, its employees, agents, and representatives arising out

ofthis action and under the terms of this Order.

Defendants all waive their share of any and all claims to the Assets of A+

Financial Center, LLC, also doing business as Accelerated Financial Centers, LLC, and

Accelerated Accounting Services LLC, including any Assets currently in possession of the

Receiver appointed by the Court in this matter, Frank Scruggs, Esq., and further stipulate that

their share of any of these Assets are to be transferred to the FTC to be used for equitable relief,

as described in Section X (Equitable Monetary Relief).

Defendants have entered into this Order freely and without coercion. Defendants

further acknowledge that they have read the provisions of this Order and are prepared to abide by

them.

Entry of this Order is in the public interest.

The parties stipulate and agree to the entry of this Order, without trial or final

adjudication of any issue of fact or law, to settle and resolve all matters in dispute arising from

the conduct alleged in the Complaint to the date of entry of this Order. This settlement does not

resolve any matters not alleged in the Complaint. Defendants neither admit nor deny any of the

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 4 of 31

allegations set forth in the Complaint, except as specifically stated in this Order. Only for

purposes of this action, Defendants admit the facts necessary to establish jurisdiction.

There is no just reason for delaying entry of this Order. Pursuant to Federal Rule

of Civil Procedure 54, this Order directs the entry of final judgment as to all of the claims the

FTC alleged in the Complaint against Defendants.

II.

DEFINITIONS

Each of the terms defined below refer to either the singular or plural, as appropriate to the

context in which they appear.

"Asset" means any legal or equitable interest in, right to, or claim to, any real,

personal, or intellectual property, including chattel, goods, instruments, equipment, fixtures,

general intangibles, effects, leaseholds, contracts, mail or other deliveries, shares or stock,

securities, inventory, checks, notes, accounts, credits, receivables (as those terms are defined in

the Uniform Commercial Code), insurance policies, lines of credit, cash, trusts (including asset

protection trusts), lists of consumer names and reserve funds or any other accounts associated

with any payments processed by, or on behalf of, any Defendant, including such reserve funds

held by payment processors, credit card processors, banks, or other Financial Institutions.

"Assisting Others" includes providing any of the following goods or services to

another entity: (1) performing customer service functions, including charging consumers for

products or services, or receiving or responding to consumer complaints; (2) formulating or

providing, or arranging for the formulation or provision of, any sales script or other marketing

material; (3) providing names of, or assisting in the generation of, potential customers; (4)

performing or providing marketing or billing services of any kind; (5) processing credit and debit

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 5 of 31

card payments; or (6) acting as an officer, director, manager, or member of a business,

corporation, or other entity.

"Corporate Defendants" means A+ Financial Center, LLC, also d/b/a

Accelerated Financial Centers, LLC; Accelerated Accounting Services LLC; their divisions,

subsidiaries, predecessors, successors, and assigns; and any fictitious business entities or

business names created or used by any of the entities included in this definition.

"Debt Relief Product or Service" means any product, service, plan or program

represented, directly or by implication, to renegotiate, settle, or in any way alter the terms of

payment or other terms of the debt between a Person and one or more unsecured creditors or debt

collectors, including a reduction in the balance, interest rate, or fees owed by a Person to an

unsecured creditor or debt collector.

"Defendants" means all of the Individual Defendants and Corporate Defendants,

individually, collectively, or in any combination, and each of them by whatever names each

might be known.

"Document" is synonymous in meaning and equal in scope to the usage of the

term in Federal Rule of Civil Procedure 34(a), and encompasses both paper documents and

electronically stored information-including writings, drawings, graphs, charts, Internet sites,

Web pages, Web sites, electronic correspondence (including email, instant messages, text

messages, and other correspondence transmitted on cell phones, smart phones, and other mobile

devices), photographs, audio and video recordings, contracts, accounting data, advertisements

(including advertisements placed on the Internet), FTP logs, server access logs, books, written or

printed records, handwritten notes, telephone logs, telephone scripts, receipt books, ledgers,

personal and business cancelled checks, check registers, bank statements, appointment books,

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 6 of 31

computer records and files, mobile electronic records and files, images, and other data or data

compilations-stored in any medium from which information can be obtained either directly or,

if necessary, after translation by Defendants into a reasonably usable form. A draft or nonidentical copy is a separate Document within the meaning of the term.

"Financial Institution" means any bank, savings and loan institution, credit

union, or any financial depository of any kind, including any brokerage house, trustee, brokerdealer, escrow agent, title company, commodity trading company, or precious metal dealer

"Financial Related Product or Service" means any product or service.

represented, directly or by implication, to:

provide any consumer, arrange for any consumer to receive, or assist any

consumer in receiving, credit, debit, or stored value cards;

improve, or arrange to improve, any consumer's credit record, credit

history, or credit rating;

provide advice or assistance to any consumer with regard to any activity or

service the purpose ofwhich is to improve a consumer's credit record,

credit history, or credit rating;

provide any consumer, arrange for any consumer to receive, or assist any

consumer in receiving, a loan or other extension of credit;

provide any consumer, arrange for any consumer to receive, or assist any

consumer in receiving any service represented, expressly or by

implication, to renegotiate, settle, or in any way alter the terms of payment

or other terms of the debt between a consumer and one or more secured

creditors, servicers, or debt collectors.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 7 of 31

"Individual Defendants" means Christopher L. Miano and Dana M. Miano.

"Outbound Telephone Call" means a telephone call initiated by a Telemarketer

to induce the purchase of goods or services or to solicit a charitable contribution.

"Person" means a natural person, an organization or other legal entity, including

a corporation, partnership, sole proprietorship, limited liability company, association,

cooperative, or any other group or combination acting as an entity.

"Receiver" means the receiver appointed by the Court in this matter, Frank

Scruggs, Esq., and any deputy receivers that shall be named by the Receiver.

"Representative" means Defendants' officers, directors, managers, members,

agents, servants, employees, and attorneys, and any other Person or entity in active concert or

participation with them, who receives actual notice of this Order by personal service or

otherwise.

"Telemarketer" means any Person who, in connection with Telemarketing,

initiates or receives telephone calls to or from a customer or donor.

"Telemarketing" means any plan, program, or campaign (whether or not covered

by the TSR) that is conducted to induce the purchase of goods or services or a charitable

contribution by use of one or more telephones. Provided, however, that "Telemarketing" does

not include any plan, program, or campaign that involves only telephone calls made to, or

received from, a business for the purpose of inducing or inquiring about the purchase of goods or

services by the business or a charitable contribution by the business. Provided further that

"Telemarketing" does include such calls made for the purpose of inducing the retail sale of

nondurable office or cleaning supplies.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 8 of 31

III.

PERMANENT BAN ON ROBOCALLS

Defendants, whether acting directly or through any Person, are hereby permanently

restrained and enjoined from initiating, or causing others to initiate, any telephone call that

delivers a prerecorded message.

IV.

PERMANENT BAN ON MARKETING DEBT

RELIEF PRODUCTS OR SERVICES

Defendants, whether acting directly or through any Person, are hereby permanently

restrained and enjoined from engaging in, participating in, or Assisting Others in the advertising,

marketing, promotion, offering for sale, sale, or distribution of any Debt Relief Product or

Service.

PROHIBITED PRACTICERS RELATING TO FINANCIAL

RELATED PRODUCTS OR SERVICES

In connection with the marketing, advertising, promotion, distribution, offering for sale,

or sale of any Financial Related Products or Services, Defendants and their Representatives,

whether acting directly or through any Person, are hereby permanently restrained and enjoined

from:

Misrepresenting or Assisting Others in misrepresenting, expressly or by implication, any

material fact, including:

The terms or rates that are available for any loan or other extension of credit,

including:

closing costs or other fees;

the payment schedule, the monthly payment amount(s), or other payment

terms, or whether there is a balloon payment; interest rate(s), annual

percentage rate(s), or finance charge; the loan amount, the amount of

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 9 of 31

credit, the draw amount, or outstanding balance; the loan term, the draw

period, or maturity; or any other term of credit;

the savings associated with the credit;

the amount of cash to be disbursed to the borrower out of the proceeds, or

the amount of cash to be disbursed on behalf of the borrower to any third

party;

whether the payment of the minimum amount specified each month covers

both interest and principal, and whether the credit has or can result in

negative amortization;

that the credit does not have a prepayment penalty or that no prepayment

penalty and/or other fees or costs will be incurred if the consumer

subsequently refinances; and

that the interest rate(s) or annual percentage rate(s) are fixed rather than

adjustable or adjustable rather than fixed;

That any Person can improve any consumer's credit record, credit history, or

credit rating by permanently removing negative information from the consumer's

credit record, credit history, or credit rating, even where such information is

accurate and not obsolete;

Any Person's ability to improve or otherwise affect a consumer's credit record,

credit history, credit rating, or ability to obtain credit;

Any aspect of any mortgage loan modification service or foreclosure relief

service, including the amount of savings or reduction in interest rate, loan

principal, or monthly payment that a consumer will receive from purchasing,

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 10 of 31

using, or enrolling in such mortgage loan modification service or foreclosure

relief service; the amount of time before a consumer will receive a mortgage loan

modification or relief from foreclosure; the likelihood that a consumer will obtain

a modified mortgage loan or relief from foreclosure; or the reduction or cessation

of collection calls; and

That a consumer will receive legal representation; and

Advertising or Assisting Others in advertising credit terms other than those terms that

actually are or will be arranged or offered by a creditor or lender.

VI.

PROHIBITED MISREPRESENTATIONS RELATING TO GOODS

OR SERVICES

In connection with the marketing, advertising, promotion, distribution, offering for sale,

or sale of any goods or services, Defendants and their Representatives, whether acting directly or

through any Person, are hereby permanently restrained and enjoined from:

Misrepresenting or Assisting Others in misrepresenting, expressly or by implication, any

ofthe following:

The nature of any Defendant's or any other Person's relationship with any bank,

credit card issuer, credit card company, secured or unsecured lender, or consumer

credit reporting agency;

The nature of any Defendant's or any other Person's affiliation with, endorsement

by, approval by, sponsorship by, relationship with, or connection to: any other

Person; government entity; public, non-profit, or other non-commercial program;

or any other program;

The total costs to purchase, receive, or use, and the quantity of, any goods or

services that are the subject of a sales offer;

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 11 of 31

Any material restrictions, limitations, or conditions to purchase, receive, or use

goods or services that are the subject of a sales offer;

Any material aspect of the performance, efficacy, nature, or central characteristics

of goods or services that are the subject of a sales offer;

Any material aspect of the nature or terms of a refund, cancellation, exchange, or

repurchase policy for any goods or services that are the subject of a sales offer; or

Any other fact material to a consumer's decision to purchase goods or services;

and

Representing, or Assisting Others who are representing, expressly or by implication, the

benefits, performance, or efficacy of any good or service, unless at the time such

representation is made, Defendants possess and rely upon competent and reliable

evidence that substantiates that the representation is true.

VII.

PROHIBITIONS REGARDING TELEMARKETING

In connection with Telemarketing of any product or service, Defendants and their

Representatives, whether acting directly or through any Person, are hereby restrained and

enjoined from:

Initiating, or causing others to initiate, an Outbound Telephone Call to a Person whose

telephone number is on the National Do Not Call Registry;

Initiating, or causing others to initiate, an Outbound Telephone Call that fails to transmit

the telephone number and/or name of the Telemarketer or seller to any caller

identification service in use by the recipient of the call;

Initiating, or causing others to initiate, an Outbound Telephone Call that fails to disclose

truthfully, promptly, and in a clear and conspicuous manner to the Person receiving the

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 12 of 31

call: (1) the identity of the seller; (2) that the purpose of the call is to sell goods or

services; and (3) the nature of the goods or services;

Initiating, or causing others to initiate, an Outbound Telephone Call to a telephone

number within a given area code when Defendants have not, either directly or through

another Person, paid the required annual fee for access to the telephone numbers within

that area code that are included on the National Do Not Call Registry.

VIII. PROHIBITIONS REGARDING CONSUMER INFORMATION

Defendants and their Representatives, whether acting directly or through any Person, are

permanently restrained and enjoined from:

Failing to provide sufficient customer information to enable the FTC to efficiently

administer consumer redress. If a representative of the FTC requests in writing any

information related to redress, Defendants must provide it, in the form prescribed by the

FTC, within fourteen (14) days;

Disclosing, using, or benefitting from customer information, including the name, address,

telephone number, email address, social security number, other identifying information,

or any data that enables access to a customer's account (including a credit card, bank

account, or other financial account), of any Person that was obtained by any Defendant in

connection with the sale of any product or service during the period June 1, 2008 through

the date of entry of this Order; and

Failing to dispose of such customer information in all forms in their possession, custody,

or control within thirty (30) days after entry of this Order. Disposal shall be by means

that protect against unauthorized access to the customer information, such as by burning,

pulverizing, or shredding any papers, and by erasing or destroying any electronic media,

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 13 of 31

to ensure that the customer information cannot practicably be read or reconstructed.

Provided, however, that customer information need not be disposed of, and may be

disclosed, to the extent requested by a government agency or required by a law,

regulation, or court order.

IX.

PROHIBITION ON COLLECTING ON ACCOUNTS

Defendants and their Representatives, whether acting directly or through any Person, are

hereby restrained and enjoined from attempting to collect, collecting, or assigning any right to

collect payment from any consumer who purchased or agreed to purchase any Debt Relief

Product or Service from any Defendant.

EQUITABLE MONETARY RELIEF

Monetary judgment is entered in favor of the FTC and against Defendants, jointly and

severally, for equitable monetary relief, including consumer redress and/or disgorgement, in the

amount of nine million, two hundred thirty-eight thousand, one hundred fifty-five dollars and

zero cents ($9,238, 155.00), which is the total amount of consumer injury caused by the activities

alleged in the FTC's complaint; provided, however, that based on the sworn representations in

the financial statements of Christopher Miano (dated October 29, 2012), Dana Miano (dated

October 29, 2012, amended October 31, 2012 and November 9, 20 12), and A+ Financial Center,

LLC and Accelerated Accounting Services LLC (dated October 29, 2012, amended October 31,

2012), full payment of the foregoing amount shall be suspended upon Defendants' satisfaction of

the obligations set forth in this Section, and subject to the conditions set forth in Section XI

(Right to Reopen):

Effective upon the entry of this Order, Defendants shall surrender to the FTC all control,

title, dominion, and interest in the following Assets:

Corporate Defendants and all of Corporate Defendants' Assets;

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 14 of 31

the 2007 Mercedes Benz CL Class (VIN #: WDDEJ71X47A007356) registered

to Christopher L. Miano;

the 1999 watercraft, vessel number FL 7303LD, hull number RGFJ0562G899,

registered to Christopher L. Miano;

the 2002 watercraft, vessel number 1138329, hull ID SERF9427K203, registered

to Christopher L. Miano;

all funds in the following bank accounts held at Bank of America in the name of

any Defendant, individually or jointly with another Person: accounts ending in

4783, 4796, 4914, and 5229; and

all other Assets of any ofDefendant in the possession ofthe Receiver.

Notwithstanding the provisions set forth in Subparagraph A above, effective upon entry

ofthis Order, Individual Defendants shall retain all control, title, dominion, and interest

in the following Assets:

all funds in the following bank accounts held in the name of any Defendant,

individually or jointly with another Person: Bank of America bank accounts

ending in 5397 and 1536; PNC Bank bank account ending in 3667;

the contents of the safe deposit box in the name of Dana Miano located at PNC

Bank, 3201 Southwest Port Saint Lucie Boulevard, Port St. Lucie, FL 34953;

the 2012 Infiniti QX56 (VIN #: JN8AZ2NE1C9019655) registered to Dana M.

Miano and the 2009 Hyundai Sonata (VIN #: 5NPET46CX9H522477) jointly

registered to Dana M. Miano and Domenica Conte; and

fourteen thousand, seven hundred forty-three dollars and fifty-nine cents

($14,743.59) ofthe equity in the 2002 watercraft, vessel number 1138329, hull ID

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 15 of 31

SERF9427K203, registered to Christopher L. Miano, which amount shall be paid

by the Receiver to Defendants from the funds in the Receivership estate as

described in Subparagraph F below.

For each bank account listed in Subsection A above, the Financial Institution identified

shall, within five (5) days of entry of this Order, remit the entire balance of each account

to the FTC by certified check(s) or other guaranteed funds payable to the FTC, Financial

Management Office, or by wire transfer in accordance with directions provided by the

FTC. The check(s) or written confirmation ofthe wire transfer(s) shall be delivered to:

Associate Director

Division of Marketing Practices

H-286

600 Pennsylvania A venue, NW

Washington, DC 20580

Defendants shall cooperate in good faith with the FTC to effectuate these transfers, and

shall, if needed, execute such Documents as is necessary to timely remit the entire

balance of each account to the FTC.

For all other Assets listed in Subsection A above, Defendants shall, within five (5) days

of entry of this Order, execute such Documents as necessary to transfer title of those

Assets to the FTC or its designated transferee, and Defendants shall, within five (5) days

of entry ofthis Order, deliver physical custody of such Assets to the Receiver.

Defendants shall cooperate in good faith with the FTC and the Receiver to effectuate

these transfers.

Time is of the essence for the obligations set forth in Subparagraphs A, C, and D above.

In the event of any default by Defendants on any obligation imposed under this Section:

(1) the Judgment imposed herein will not be suspended as to Defendants, and the full

amount ofthatjudgment, nine million, two hundred thirty-eight thousand, one hundred

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 16 of 31

fifty-five dollars and zero cents ($9,238,155.00), shall immediately become due and

payable, plus interest from the date of entry ofthis Order, pursuant to 28 U.S.C. § 1961,

as amended, less any amounts already paid; and (2) the FTC shall be entitled to

immediately exercise any and all rights and remedies against Defendants and their Assets

to collect the full amount of the judgment and interest thereon, less any amounts already

paid.

Within five (5) days after counsel for the FTC has certified in writing that the funds and

Assets have been transferred in accordance with Subsections C and D above:

Individual Defendants shall obtain all control, title, dominion, and interest in:

All funds in the following bank accounts held in the name of any

Defendant, individually or jointly with another Person: Bank of America

bank accounts ending in 5397 and 1536; PNC Bank bank account ending

in 3667;

All items and funds contained in the safe deposit box in the name of Dana

Miano located at PNC Bank, 3201 Southwest Port Saint Lucie Boulevard,

Port St. Lucie, FL 34953;

All control, title, dominion, and interest in the 2012 Infiniti QX56 (YIN#:

JN8AZ2NE1C9019655) registered to Dana M. Miano and the 2009

Hyundai Sonata (VIN #: 5NPET46CX9H522477) jointly registered to

Dana M. Miano and Domenica Conte; and

The Receiver shall remit the amount of fourteen thousand, seven hundred fortythree dollars and fifty-nine cents ($14,743.59) via certified check payable to the

trust account of Dean Mead for the benefit of Individual Defendants.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 17 of 31

The Receiver shall, as soon as practicable upon receipt of the Assets and transfer of titles

pursuant to Subsections A and D, commence their liquidation using a commercially

reasonable procedure, and Defendants shall have no right to challenge said liquidation.

Any transfer fees, taxes, or other payments mandated from the transferor under state law

shall be paid from the proceeds of each sale at the time each such Asset is sold.

Following liquidation of such Assets, the Receiver shall forward the net proceeds to the

FTC within thirty (30) days as directed by the FTC.

Any funds paid pursuant to this Section shall be deposited into a fund administered by the

FTC or its agent to be used for equitable relief, including consumer redress and any

attendant expenses for the administration of any redress fund. Defendants shall cooperate

fully to assist the FTC in identifying consumers who may be entitled to redress pursuant

to this Order. In the event that direct redress to consumers is wholly or partially

impracticable or funds remain after redress is completed, the FTC may apply any

remaining funds for such other equitable relief (including consumer information

remedies) as it determines to be reasonably related to Defendants' practices alleged in the

Complaint. Any funds not used for such equitable relief shall be deposited in the United

States Treasury as disgorgement. Defendants shall have no right to challenge the FTC's

choice of remedies under this Section. Defendants shall have no right to contest the

manner of distribution chosen by the FTC. This judgment for equitable monetary relief is

solely remedial in nature and is not a fine, penalty, punitive assessment, or forfeiture.

Defendants relinquish all dominion, control, and title to the funds paid to the fullest

extent permitted by law. Defendants shall make no claim to or demand for return of the

funds, directly or indirectly, through counsel or otherwise.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 18 of 31

Defendants agree that the facts as alleged in the Complaint filed in this action shall be

taken as true without further proof in any bankruptcy case or subsequent civil litigation

pursued by the FTC to enforce its rights to any payment or money judgment pursuant to

this Order, including a nondischargeability complaint in any bankruptcy case.

Defendants further stipulate and agree that the facts alleged in the Complaint establish all

elements necessary to sustain an action by the FTC pursuant to Section 523(a)(2)(A) of

the Bankruptcy Code, 11 U.S. C. § 523(a)(2)(A), and that this Order shall have collateral

estoppel effect for such purposes.

XI.

RIGHT TO REOPEN

The FTC's agreement to this Order is expressly premised upon the truthfulness, accuracy,

and completeness ofDefendants' sworn financial statements and supporting Documents

that Defendants submitted to the FTC as described in Section X (Equitable Monetary

Relief) ofthis Order, as well as all subsequent addenda thereto, all ofwhich Defendants

assert were truthful, accurate, and complete at the time they were submitted. Defendants

and the FTC stipulate that these financial disclosures provide the bases for the Assets

listed in Section X (Equitable Monetary Relief) of this Order, and include material

information upon which the FTC relied in negotiating and agreeing to this Order.

If, upon motion by the FTC, this Court finds that Defendants have failed to disclose any

material Asset or materially misstated the value of any Asset in the financial statements

or related Documents described above, or have made any other material misstatement or

omission in the financial statements or related Documents described in Section X

(Equitable Monetary Relief) of this Order, then this Order shall be reopened and

suspension of the judgment shall be lifted for the purpose of requiring payment of

monetary relief in the amount of nine million, two hundred thirty-eight thousand, one

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 19 of 31

hundred fifty-five dollars and zero cents ($9,238, 155.00), less the sum of any amounts

paid to the FTC pursuant to Section X (Equitable Monetary Relief) ofthis Order.

Provided, however, that in all other respects this Order shall remain in full force and

effect, unless otherwise ordered by the Court.

Upon any reinstatement of the monetary judgment, the Court shall make an express

determination that the monetary judgment shall be immediately due and payable as to

Defendants. The FTC shall be entitled to interest on the judgment, computed from the

day of entry of this Order, at the rate prescribed by 18 U.S.C. § 1961, as amended, on any

outstanding amounts not paid. The FTC shall be permitted to execute on the judgment

immediately after the suspension is lifted and engage in discovery in aid of execution.

Proceedings initiated under this provision would be in addition to, and not in lieu of, any

other civil or criminal remedies as may be provided by law, including any proceedings

that the FTC may initiate to enforce this Order. For purposes of this Section, Defendants

waive the right to contest any of the allegations in the Complaint.

XII.

LIFTING OF ASSET FREEZE

The freeze on the Assets ofDefendant pursuant to Section VIII (Asset Freeze) of the

Preliminary Injunction entered by this Court on November 1, 2012 [D.E. 23] shall remain in

effect until Defendants have complied with all requirements set forth in Section X above,

provided, however, that Defendants, with the express written consent of counsel for the FTC,

may transfer funds to the extent necessary to make all payments required by Section X. Once

Defendants have fully complied with the requirements of Section X, the freeze against the

Assets ofthe Individual Defendants shall be lifted permanently. The freeze on the Assets ofthe

Corporate Defendants shall remain in effect until such time as the Receiver receives payment of

all Court-approved fees and expenses of the Receiver and the Receiver is discharged pursuant to

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 20 of 31

Section XVI of this Order. A Financial Institution shall be entitled to rely upon a letter from the

FTC stating that the freeze on Defendants' Assets has been lifted.

XIII. RECEIVER'S DUTIES

Frank Scruggs, Esq., the Receiver appointed by the Preliminary Injunction [D.E. 23], is

hereby appointed Receiver for Corporate Defendants for the purpose of taking the necessary

steps to wind down the businesses of Corporate Defendants, liquidate their Assets, and pay any

net Assets to the FTC to satisfy the monetary judgment entered by this Order. The Receiver

shall be the agent of this Court and shall be accountable directly to this Court. In carrying out

these duties, the Receiver is authorized and directed to:

Take any and all steps that the Receiver concludes are appropriate to wind down

Corporate Defendants.

Take any and all steps necessary or advisable to locate and liquidate all Assets of

Corporate Defendants, cancel Corporate Defendants' contracts, collect on amounts owed

to Corporate Defendants, and take such other steps as may be necessary to terminate and

dissolve Corporate Defendants efficiently.

Provide the FTC, upon request, with any business records of Corporate Defendants that

(1) identify consumers from whom Corporate Defendants collected payments, including

the most recent known address, telephone number, and the amount of any fees paid by

such consumers; and (2) identify consumers who received refunds from Corporate

Defendants and the amount of the refunds.

Continue to exercise full control of Corporate Defendants and continue to collect,

marshal, and take custody, control and possession of all the funds, property, premises,

accounts, Documents, mail, and other Assets of, or in the possession or under the control

of, Corporate Defendants, wherever situated, the income and profits therefrom, and all

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 21 of 31

sums of money now or hereafter due or owing to Corporate Defendants, with full power

to collect, receive, and take possession of all goods, chattels, rights, credits, monies,

effects, lands, leases, books and records, limited partnership records, work papers, and

records of accounts, including computer-maintained information, contracts, financial

records, monies on hand in banks and other Financial Institutions, and other papers and

Documents of other individuals, partnerships, or corporations whose interests are now

held by or under the direction, possession, custody or control of Corporate Defendants

(collectively, the "Receivership Estate").

Dispose of, or arrange for the disposal of, the records of Corporate Defendants no later

than six (6) months after the Court's approval of the Receiver's final repmi as to the

Receivership Estate, except that:

to the extent that such records are reasonably available, the Receiver shall arrange

for records sufficient to ascertain the funds that an individual consumer paid to

Corporate Defendants, and any refunds provided to individual consumers, to be

retained for a minimum of one year from the entry of this Order; and

if state or local law regulating Corporate Defendants' business requires the

retention of particular records for a specified period, the Receiver shall arrange

for such records to be disposed of after the specified period has expired.

To safeguard the privacy of consumers, records containing personal financial information

shall be shredded, incinerated, or otherwise disposed of in a secure manner. For records

that must be retained, the Receiver may elect to retain records in their original form, or to

retain photographic or electronic copies.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 22 of 31

Continue to perform all acts necessary or advisable to complete an accounting of the

Assets, and prevent unauthorized transfer, withdrawal, or misapplication of Assets.

Make payments and disbursements from Corporate Defendants' estate that are necessary

or advisable for carrying out the directions of, or exercising the authority granted by, this

Order. The Receiver shall apply to the Court for prior approval of any payment of any

debt or obligation incurred by Corporate Defendants prior to the date of entry of the

Temporary Restraining Order [D.E. 10] in this action, except payments that the Receiver

deems necessary or advisable to secure and liquidate Assets of Corporate Defendants,

such as rental payments or payment of liens.

Enter into contracts and purchase insurance as advisable or necessary.

Perform all incidental acts that the Receiver deems to be advisable or necessary, which

include retaining, hiring, or dismissing any employees, independent contractors, and

agents as the Receiver deems advisable or necessary in the performance of duties and

responsibilities under the statutory authority granted by this Order.

Continue to institute, compromise, adjust, appear in, intervene in, or become party to

such actions or proceedings in state, federal, or foreign courts or arbitration proceedings

as the Receiver deems necessary and advisable to carry out the Receiver's mandate under

this Order, including actions challenging fraudulent or voidable transfers.

Continue to defend, compromise, adjust, or othetwise dispose of any or all actions or

proceedings instituted in the past or in the future against the Receiver in his role as

Receiver, or against Corporate Defendants, as the Receiver deems necessary and

advisable to carry out the Receiver's mandate under this Order.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 23 of 31

Issue subpoenas to obtain Documents and records pertaining to the Receivership, and

conduct discovery in this action on behalf of the Receivership estate.

Continue to maintain one or more bank accounts as designated depositories for funds of

Corporate Defendants not disbursed to the FTC pursuant to Section X (Equitable

Monetary Relief) of this Order, and make all payments and disbursements from the

Receivership Estate from such an account. The Receiver shall serve copies of monthly

account statements on all parties.

Continue to maintain accurate records of all receipts and expenditures that he makes as

Receiver.

Continue to cooperate with reasonable requests for information or assistance from any

state or federal law enforcement agency.

XIV.

COMPENSATION OF RECEIVER

The Receiver and all personnel hired by the Receiver, including counsel to the Receiver

and accountants, are entitled to reasonable compensation for the performance of duties pursuant

to this Order and for the cost of actual out-of-pocket expenses incurred by them, from the Assets

now held by, in the possession or control of, or which may be received by, Corporate

Defendants. The Receiver must not increase the hourly rates used as the bases for such fee

applications without prior approval of the Court.

XV. RECEIVER'S FINAL REPORT AND DISBURSEMENT OF

ASSETS OF THE CORPORATE DEFENDANTS

The Receiver shall, as directed in Section X (Equitable Monetary Relief) of this Order,

liquidate the Assets of Corporate Defendants as soon as practicable. No later than sixty

(60) days from the date of the entry of this Order, the Receiver shall file and se!'Ve on the

parties a report (the "Final Report") to the Court that details the steps taken to dissolve

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 24 of 31

the Receivership Estate. The Final Report shall include an accounting of the

Receivership Estate's finances and total Assets and a description of what other actions, if

any, must be taken to wind-down the Receivership. Promptly thereafter, but no later than

thirty (30) days after submission of the Final Report, the Receiver shall file an application

for payment of compensation and expenses associated with his performance of duties as

Receiver under this Order, the Temporary Restraining Order [D.E. 10], and the

Preliminary Injunction [D.E. 23] entered in this proceeding. The Receiver shall mail

copies of the Final Report to all known creditors of Corporate Defendants with a notice

stating that any objections to paying any Assets of Corporate Defendants to satisfy the

Receiver's costs and expenses and the monetary judgment set forth in this Order must be

submitted to the Court and served by mail upon the Receiver and the parties within thirty

(30) days ofthe mailing of the Final Report. If subsequent actions (such as the

completion of tax returns or further actions to recover funds for the Receivership) are

appropriate, the Receiver shall file an additional report or reports ("Supplemental

Report") describing the subsequent actions and a subsequent application for the payment

of fees and expenses related to the subsequent acts.

The Court will review the Final Report and any objections to the report and, absent a

valid objection, will issue an order directing the Receiver to:

pay the reasonable costs and expenses of administering the Receivership,

including compensation of the Receiver and the Receiver's personnel authorized

by Section XIV (Compensation of Receiver) of this Order or other orders of this

Court, and the actual out-of-pocket costs incurred by the Receiver in carrying-out

his duties; and

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 25 of 31

pay all remaining funds to the FTC, as directed in Section X (Equitable Monetary

Relief) of this Order as partial satisfaction of the judgment.

With Court approval, the Receiver may hold back funds for a specified period as a

reserve to cover additional fees and costs related to actions to be addressed in a

Supplemental Report. If the Receiver does not make a supplemental application for fees

and expenses within the specified period, or if funds remain in the reserve fund after the

payments of fees and expenses approved by the Court in response to such a supplemental

application, all funds remaining in the reserve fund shall be immediately paid to the FTC

or its designated agent.

XVI.

TERMINATION OF THE RECEIVERSHIP

Upon completion by the Receiver of the tasks set forth in this Order, the Receivership

over Corporate Defendants shall be dissolved and the Receiver discharged.

XVII. COOPERATION WITH FTC COUNSEL

Defendants shall, in connection with this action or any subsequent investigations related

to or associated with the transactions or the occurrences that are the subject of the FTC's

Complaint, cooperate in good faith with the FTC and appear at such places and times as the FTC

shall reasonably request, after written notice, for interviews, conferences, pretrial discovery,

review of Documents, and for such other matters as may be reasonably requested by the FTC. If

requested in writing by the FTC, Defendants shall appear and provide truthful testimony in any

trial, deposition, or other proceeding related to or associated with the transactions or the

occurrences that are the subject of the Complaint, without the service of a subpoena.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 26 of 31

XVIII. SEVERABILITY

The provisions ofthis Order are separate and severable from one another. If any

provision is stayed or determined to be invalid, the remaining provisions shall remain in full

force and effect.

XIX.

ORDER ACKNOWLEDGEMENTS

IT IS FURTHER ORDERED that Defendants obtain acknowledgements of receipt of

this Order:

Each Defendant, within seven (7) days of entry of this Order, must submit to the FTC an

acknowledgement of receipt of this Order sworn under penalty of perjury.

For five (5) years after entry of this Order, each Individual Defendant for any business

that such Defendant, individually or collectively with any other Defendant, is the

majority owner or directly or indirectly controls, and each Corporate Defendant, must

deliver a copy ofthis Order to: (1) all principals, officers, directors, and managers; (2)

all employees, agents, and Representatives who participate in conduct related to the

subject matter of the Order; and (3) any business entity resulting from any change in

structure as set forth Section XX (Compliance Reporting). Delivery must occur within

seven (7) days of entry of this Order for current personnel. To all others, delivery must

occur before they assume their responsibilities.

From each individual or entity to which a Defendant delivered a copy of this Order, that

Defendant must obtain, within thirty (30) days, a signed and dated acknowledgment of

receipt of this Order.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 27 of 31

XX.

COMPLIANCE REPORTING

IT IS FURTHER ORDERED that Defendants make timely submissions to the FTC:

One (1) year after entry ofthis Order, each Defendant must submit a compliance report,

sworn under penalty of perjury.

Each Defendant must: (a) designate at least one telephone number and an email,

physical, and postal address as points of contact, which representatives of the FTC

may use to communicate with Defendant; (b) identify all ofthat Defendant's

businesses by all of their names, telephone numbers, and physical, postal, email,

and Internet addresses; (c) describe the activities of each business, including the

products and services offered, the means of advertising, marketing, and sales, and

the involvement of any other Defendant (which Individual Defendants must

describe if they know or should know due to their own involvement); (d) describe

in detail whether and how that Defendant is in compliance with each Section of

this Order; and (e) provide a copy of each Order Acknowledgment obtained

pursuant to this Order, unless previously submitted to the FTC;

Additionally, each Individual Defendant must: (a) identify all telephone numbers

and all email, Internet, physical, and postal addresses, including all residences; (b)

identify all titles and roles in all business activities, including any business for

which such Defendant performs services whether as an employee or otherwise

and any entity in which such Defendant has any ownership interest; and (c)

describe in detail such Defendant's involvement in each such business, including

title, role, responsibilities, participation, authority, control, and any ownership.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 28 of 31

For twenty (20) years following entry of this Order, each Defendant must submit a

compliance notice, sworn under penalty of perjury, within fourteen (14) days of any

change in the following:

Each Defendant must report any change in: (a) any designated point of contact;

(b) the structure of any Corporate Defendant or any entity that Defendant has any

ownership interest in or directly or indirectly controls that may affect compliance

obligations arising under this Order, including: creation, merger, sale, or

dissolution ofthe entity or any subsidiary, parent, or affiliate that engages in any

acts or practices subject to this Order.

Additionally, each Individual Defendant must report any change in: (a) name,

including aliases or fictitious name, or residence address; or (b) title or role in any

business activity, including any business for which such Defendant performs

services whether as an employee or otherwise and any entity in which such

Defendant has any ownership interest, and identity its name, physical address, and

Internet address, if any.

Each Defendant must submit to the Commission notice ofthe filing of any bankruptcy

petition, insolvency proceeding, or any similar proceeding by or against such Defendant

within fourteen (14) days of its filing.

Any submission to the Commission required by this Order to be sworn under penalty of

perjury must be true and accurate and comply with 28 U.S.C. § 1746, such as by

concluding: "I declare under penalty of perjury under the laws of the United States of

America that the foregoing is true and correct. Executed on: _ _" and supplying the

date, signatory's full name, title (if applicable), and signature.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 29 of 31

Unless otherwise directed by a Commission representative in writing, all submissions to

the Commission pursuant to this Order must be emailed to DEbrief@ftc.gov or sent by

overnight courier (not the U.S. Postal Service) to: Associate Director for Enforcement,

Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue

NW, Washington, DC 20580. The subject line must begin: FTC v. A+ Financial

Center, LLC, eta!., No. 2:12-cv-14373-DLG (Southern District ofFlorida).

XXI.

RECORDKEEPING

IT IS FURTHER ORDERED that Defendants must create certain records for twenty

(20) years after entry of the Order, and retain each such record for five (5) years. Specifically,

Corporate Defendants and each Individual Defendant for any business in which that Defendant,

individually or collectively with any other Defendants, is a majority owner or directly or

indirectly controls, must maintain the following records:

Accounting records showing the revenues from all goods or services sold, all costs

incurred in generating those revenues, and the resulting net profit or loss;

Personnel records showing, for each Person providing services, whether as an employee

or otherwise, that Person's: name, addresses, and telephone numbers; job title or

position; dates of service; and, if applicable, the reason for termination;

Complaints and refund requests, whether received directly or indirectly, such as through a

third party, and any response;

All records necessary to demonstrate full compliance with each provision of this Order,

including all submissions to the FTC; and

A copy of each advertisement or other marketing material.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 30 of 31

XXII. COMPLIANCE MONITORING

IT IS FURTHER ORDERED that, for the purpose of monitoring Defendants'

compliance with this Order, including the financial representations upon which part of the

judgment was suspended and any failure to transfer any Assets as required by this Order:

Within fourteen (14) days of receipt of a written request from a representative of the

FTC, each Defendant must: submit additional compliance reports or other requested

information, which must be sworn under penalty of perjury; appear for depositions; and

produce documents, for inspection and copying. The FTC is also authorized to obtain

discovery, without further leave of court, using any of the procedures prescribed by

Federal Rules of Civil Procedure 29, 30 (including telephonic depositions), 31, 33, 34,

36, 45, and 69.

For matters concerning this Order, the FTC is authorized to communicate directly with

each Defendant. Defendant must permit representatives of the FTC to interview any

employee or other Person affiliated with any Defendant who has agreed to such an

interview. The Person interviewed may have counsel present.

The FTC may use all other lawful means, including posing, through its representatives, as

consumers, suppliers, or other individuals or entities, to Defendants or any individual or

entity affiliated with Defendants, without the necessity of identification or prior notice.

Nothing in this Order limits the Commission's lawful use of compulsory process,

pursuant to Sections 9 and 20 of the FTC Act, 15 U.S.C. §§ 49, 57b-1.

XXIII. RETENTION OF JURISDICTION

IT IS FURTHER ORDERED that this Court retains jurisdiction of this matter for

purposes of construction, modification, and enforcement of this Order.

Case 2:12-cv-14373-DLG Document 99-1 Entered on FLSD Docket 07/03/2013 Page 31 of 31

FORDEFENDA

. ~N~T~S~:_______

FORTHEFEDERALTRADE

COMMIS 10N:

-~-~~~,~

4"'~ ..... ~ ,. ~

. .

... ~-·

_ ·c;;;is~herl;, N.liano.- - - -

._ .

--~i1 IV/ ually and as Managing Member and

Federal Trade Commission

600 Pennsylvania Avenue, NW, H-286

Washington, DC 20580

Telephone: (202) 326-2978 (Bandy)

(202) 326-2635 (Maxson)

Facsimile: (202) 326-3395

E-Mail: bbandy@ftc.gov

wmaxson@ftc.gov

Registered Agent ofAccelerated Accounting

_ Se~·

es LLC

;

J;r.

Dan? . .'Miano

"?(1cQ., e

~GelA..-{)---

Individually and as Managing Member and

Registered Agent ofA+ Financial Center,

LLC, also doing business as Accelerated

Fin

enters, LLC

Attorneys for the Federal Trade Commission

Dary . Krauza

Dean, Mead, Minton & Zwemer

1903 South 25th Street, Suite 200

Fort Pierce, Florida 34947

Telephone: (772) 464-7700

Facsimile: (772) 464-7877

E-Mail: DKrauza@deanmead.com

Attorney for Defendants A+ Financial Center,

LLC, also doing business as Accelerated

Financial Centers, LLC, Accelerated

Accounting Services LLC, Christopher L.

Miano, and Dana M Miano

DONE AND ORDERED, this _ _ _ _ day of _ _ _ __ _ _ _, 2012.

JUDGE DONALD L. GRAHAM

United States District Judge

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.