State Insurance Commissioner Files Suit

Insurance Commissioner Kim Holland receives a Temporary Restraining Order against VSI Vehicle Services Inc. in Oklahoma County District Court.
This action follows a Cease and Desist Order recently issued by Holland requiring that VSI stop doing business in the state.
“It appears the company has refused to abide by the Cease and Desist Order and is continuing to call Oklahoma citizens,” said Holland. “I will not tolerate this company’s flagrant disregard of the law and will continue to pursue those responsible until the calls stop and they are held accountable.”
The Temporary Restraining Order, issued by the Oklahoma County District Court, also prohibits the company from conducting business in the state. It applies to VSI and its apparent alias – Warranty Solutions Inc. – as well as two individuals affiliated with the company. As a result, the company, and these individuals, could now be held in contempt of court leading to criminal as well as civil actions if the calls persist.
Holland also filed a lawsuit today against the company, seeking civil penalties and an injunction that would further prevent VSI from doing business in the state. The company is still subject to administrative fines for any violations to Holland’s previous order that could be as high as $25,000 per offense.
Holland initiated an investigation after the company randomly called an Insurance Department Anti-Fraud Investigator at home. She filed a Cease and Desist Order after discovering the organization was not a licensed service warranty provider in the state and that VSI was, according to the order, making false and misleading statements in the marketing of their products.
The Missouri-based organization frequently sells service warranty contracts by randomly calling potential customers and soliciting their products under the guise of an expired warranty.

Was this article helpful?

Related Articles

Leave A Comment?