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RCG Advances, LLC

Also known as: Richmond Capital Group, LLC, Viceroy Capital Funding, Ram Capital Funding.

The FTC alleged that RCG Advances misrepresented merchant cash advance terms, made unauthorized withdrawals, and used unfair collection practices. Court orders later imposed industry bans, redress, and civil penalties.

1Official action
$3.4MRedress ordered
4Business names used
2015Active since

Resolved. Refunded, settled, ceased operating, or the claim did not hold up. Kept for the record.

Identity

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Registrations
FTC v. RCG Advances, LLC (FTC case 192-3252, 2020)
Locations
New York
Jurisdictions
United States (federal)

Merchant cash advance action produced bans and monetary orders

RCG Advances, LLC, formerly Richmond Capital Group, provided merchant cash advances to small businesses and other organizations. The FTC alleged that since at least 2015 the defendants misrepresented financing terms, required personal guarantees after claiming they would not, withheld poorly disclosed upfront fees, and withdrew money from customers’ accounts without authorization. The complaint also alleged unfair collection practices, including threats of physical violence.

The FTC filed its complaint in the U.S. District Court for the Southern District of New York in 2020. A 2022 court order agreed to by RCG Advances and Robert Giardina permanently banned them from the business financing and debt collection industries. It required an upfront payment of $1.5 million and a later payment of more than $1.2 million, described by the FTC as more than $2.7 million for consumer refunds.

The case continued against Jonathan Braun, who controlled RCG Advances. A court granted summary judgment to the FTC and permanently banned Braun from the merchant cash advance and debt collection industries. After a January 2024 jury trial, the court entered a judgment of $3,421,067 to redress harm to small businesses and imposed $16,956,000 in civil penalties. The jury found that Braun knowingly violated the Gramm-Leach-Bliley Act by deceiving small businesses about the funding defendants would provide and collect.

What is not established

The RCG Advances and Giardina order was agreed to settle the case, and the supplied releases do not state that they admitted wrongdoing. The later jury finding and monetary judgment concerned Braun.

Sources

Every claim above rests on one of these. Open them and check.

  1. Enforcement action June 10, 2020
    New York-Based Finance Companies Deceived Small Businesses, Non-Profits and Seized Their Personal and Business Assets, FTC Alleges
  2. Enforcement action January 5, 2022
    Merchant Cash Advance Providers Banned from Industry, Ordered to Redress Small Businesses
  3. Enforcement action June 6, 2022
    FTC Action Results in Ban for Richmond Capital and Owner From Merchant Cash Advance and Debt Collection Industries and Return of More Than $2.7M to Consumers
  4. Enforcement action October 30, 2023
    FTC Case Leads to Permanent Ban Against Merchant Cash Advance Owner for Deceiving Small Businesses, Seizing Personal and Business Assets
  5. Enforcement action February 14, 2024
    Court Enters $20.3 Million Judgment in FTC Case Against Merchant Cash Advance Operator Jonathan Braun for Deceiving Small Businesses and Unlawfully Seizing Assets

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First recorded June 10, 2020 · Last updated February 14, 2024