HireRight Solutions, an Oklahoma company that does employment background checks for thousands of businesses nationwide, will pay $2.6 million to settle charges that it failed to verify the accuracy of its criminal background checks.
The Washington Post reports that in a complaint filed on behalf of the Federal Trade Commission (FTC) by the Justice Department, the government alleged that HireRight Solutions violated the Fair Credit Reporting Act (FCRA) by failing to ensure the accuracy of its screening reports. Other violations included failure to give consumers copies of their reports or to investigate consumer disputes about information in the reports.
As a result of the alleged violations, many people were denied employment or benefits for the wrong reason. The total number of those affected was not released. This case is unique in that the FTC had not previously charged a screening firm with an FCRA violation.
HireRight Solutions did not admit any wrongdoing as part of the settlement.
The civil penalty is one of the largest obtained by the Federal Trade Commission for violations of the law that governs use of consumer information.
If you or a loved one has been wronged by consumer fraud, contact Sokolove Law for a free legal consultation and to find out if a consumer fraud lawyer may be able to help you. For legal help, call (800) 581-6358.