Copyright 2014

Arkansas Settles Suit Against Online Payday Lenders

By Andrew Westney

Law360, New York (June 27, 2016, 4:58 PM ET) -- Payday lender Western Sky Financial LLC, loan servicer CashCall Inc. and others have agreed to pay $750,000 to resolve allegations they conspired to offer illegal online loans to Arkansas consumers while claiming to be shielded by tribal sovereign immunity, the states attorney general said Friday.

Arkansas Attorney General Leslie Rutledge said in a statement that the state had reached an agreement for Western Sky Financial, CashCall, WS Funding, CashCall and WS Funding owner J. Paul Reddam, and Western Sky owner Martin A. Webb to pay $500,000...