A Kansas City businessman behind an illegal $227 million payday loan scheme will pay $1 in a settlement reached Friday with the Bureau of Consumer Financial Protection.
The settlement indicated that both parties agreed to the $1 penalty because Richard Moseley Sr. has a limited ability to pay the larger fine that was considered. The larger settlement could have been over $69 million — representative to the amount of profit made in the scheme.
Last month, a jury found Richard Moseley Sr., 73, guilty of charging illegal interest rates and, in some cases, taking money from accounts without consumer authorization and disguising the Kansas City enterprise as an off-shore operation. He was sentenced to 10 years in prison.
Moseley forfeited $14 million in previously frozen assets — mostly bank accounts — as part of the settlement.
Moseley, his son and a group of payday loan businesses he ran reached the settlement Friday. Moseley and his son, Richard Moseley Jr., are banned from the payday loan industry.
Moseley has 10 days to wire the bureau $1.
Read more: Kansas City Star