Debt collector must reimburse $175,000

A collection agency was fined $16,000 in February and ordered to reimburse funds it collected without court authorization, according to a consent order by the Minnesota Department of Commerce. National Recoveries, Inc., headquartered in Ham Lake, violated state law by the way in which it collected civil penalties from people who had written bad checks, the order said. The state told the business to track down each debtor and provide refunds totalling $175,000 by early May. For debtors it can't locate, the business must comply with Minnesota's unclaimed-property laws, the order said. The company's website says it is engaged in collection activities nationwide and "we help to ensure 100% compliance" with various debt-collection laws. Read the full order here.