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News Release: 02-11

GRAY DAVIS, Governor
Date: 12/30/02

DEMETRIOS A. BOUTRIS, Commissioner

Department of Corporations Advises Online Shoppers to Steer Clear of Unlicensed Escrow Companies

**ALERT**

 

Sacramento, December 30, 2002 — California Corporations Commissioner Demetrios A. Boutris today announced that the Department of Corporations has issued a Desist and Refrain Order against myescrow.org and secure.myescrow.org, ordering the companies to stop receiving escrows for deposit and/or delivery without a California escrow license.

"This case serves as a reminder to online consumers to do their homework and be certain they're dealing with licensed escrow agents when buying or selling merchandise on the Internet," said Commissioner Boutris. "These businesses tried to dupe potential customers by using the license number of an unrelated, legitimately licensed company on their Web sites, trying to pass the license number off as their own."

California consumers can check the license status and disciplinary history of an escrow agent by calling the Department of Corporations' toll-free number, 1-866-ASK-CORP (1-866-275-2677), or by using the Department's online databases at www.corp.ca.gov.

The Department of Corporations is California's Investment and Financing Authority, reporting to the Business, Transportation and Housing Agency and the Governor. The Department is responsible for the regulation, enforcement and licensing of securities, franchises, off-exchange commodities, investment and financial services, independent escrows, consumer and commercial finance lending and residential mortgage lending. For further information or to obtain a complaint form, see the Department's Web site at www.corp.ca.gov or call 1-866-ASK-CORP (1-866-275-2677).

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