State Regulators Shut Down Four Fake Websites of a Credit Union and Three Banks

Michigan regulators issued a temporary cease-and-desist order Friday against an alleged fake website of a credit union, a bank, and two other financial institutions. An investigation by Michigan’s Department of Insurance and Financial Services found numerous suspicious discrepancies and issues on the websites of CEO World Credit Union, EH National bank, Eastern Trust Finance, and Capital Standard Institution.

State investigators were unable to identify any physical location for the financial institutions that claimed to have the same address on Greenfield Road in Southfield. On their websites, they also listed incorrect zip codes and phone numbers for that area.

The four websites also used the same names and what appeared to be stock photos of executive officers of the financial institutions. The narrative on the “About Us” pages are identical, except for the name of each financial institution that all claimed to have been providing banking solutions for more than 30 years. The websites also featured a page, all identical, for consumers to open an account that required them to enter their personal identification information.

State regulators did not say for how long the websites had been operating or if any consumers signed up for an account or lost any money. The websites are no longer posted on the internet.

State regulators also determined the credit union and banks were not authorized to do business in Michigan, the credit union was not authorized as a federal credit union, and the banks were not authorized as national banks.

Consumers who believe they may have fallen victim to these unauthorized institutions should report it to DIFS by calling 877-999-6442 Monday through Friday, 8 a.m. to 5 p.m., or online by visiting the department’s website.

An administrative hearing will be held at 9 a.m. ET Oct. 19 before Administrative Law Judge Stephen Goldstein to determine whether the cease-and-desist order should be made permanent.