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Federal Court Issues Restraining Order Against Solar Titan to Protect Consumers from Deceptive Business Practices

Protect Kentucky and Tennessee consumers from deceptive business practices.

                                  

FRANKFORT, Ky. (February 8, 2023) – The United States District Court for the Eastern District of Tennessee granted Attorney General Daniel Cameron and Tennessee Attorney General Jonathan Skrmetti’s request to issue a temporary restraining order (TRO) against Ideal Horizon Benefits LLC, also known as Solar Titan USA (Solar Titan), the company’s owners, and principal officers to protect Kentucky and Tennessee consumers from deceptive business practices.

“Deceptive business practices have no place in Kentucky’s marketplace,” said Attorney General Cameron. “We filed this complaint against Solar Titan to protect Kentucky solar consumers and utility workers from being harmed by these practices, and we are thankful the court agreed with our request.”

Since March 2022, Attorney General Cameron’s office has received consumer complaints against Solar Titan of Knoxville, Tennessee, which sells and installs solar systems. The complaints describe the company’s failure to complete installations in a timely manner, misrepresenting electricity utility bill savings, and misleading consumers regarding their eligibility for federal tax credits.

Attorney General Cameron and Attorney General Skrmetti launched an investigation into the business practices of Solar Titan regarding suspected state and federal consumer protection law violations. The investigation revealed that Solar Titan likely not only defrauded customers but also failed to follow proper installation and permitting procedures, which poses a risk to consumers and utility workers alike.

The investigation also uncovered evidence indicating that Solar Titan’s principals were potentially misappropriating consumer funds by making lavish personal purchases instead of paying employees or fulfilling obligations to customers.

On Monday, February 6, in addition to requesting a restraining order and asking the court to appoint a receiver to ensure the company’s assets are preserved for the benefit of customers, the attorneys general filed a complaint against Solar Titan and its primary lender, Solar Mosaic, Inc., for violations of state and federal consumer protection law.

On Monday, February 7, U.S. District Court Judge Corker granted their request for a temporary restraining order and appointment of a receiver and issued an order.

As a result of these actions, Solar Titan and its owners must:

  • Cease conducting unlawful business in Kentucky and Tennessee.
  • Allow the appointed receiver to oversee and manage the company.
  • Stop using customer funds to purchase luxury items, like vehicles, homes, boats, and airplanes.

To view a copy of the order, click here

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