Tagged: Jack Conway

Kentucky's attorney general has sued a drug maker, accusing the company of misleading consumers about a diabetes drug in a state plagued by high rates of the disease.

The suit claims that GlaxoSmithKline overstated the effectiveness of the prescription drug Avandia and hid its risks.

Attorney General Jack Conway says the drug maker claimed that Avandia could reduce cardiovascular risks faced by diabetics. The lawsuit claims the drug actually increases those cardiovascular risks.

The suit filed this week in Franklin County Circuit Court in Frankfort accuses the company of violating the state's Consumer Protection Act. The suit seeks an injunction against the company and civil penalties up to $10,000 per violation.

GSK spokesman Kevin Colgan says the company acted properly in studying and marketing the drug.

Claiming it committed fraud, Kentucky Attorney General Jack Conway has filed a suit against a mortgage company.

Mortgage Electronic Registration Systems, or MERS, provides a marketplace for banks to trade mortgages and mortgage-backed securities.

Conway says it was set up by banks to avoid the fees that must be paid when mortgages are sold and to hide the true owners of those mortgages.

Conway's suit alleges MERS did not pay the proper fees in Kentucky. He's also suing under the Consumer Protection Act, because MERS foreclosed on many homes.

“About 300,000 mortgages in Kentucky are MERS mortgages right now," Conway said. "We are able to fine up to $2,000 per violation of the Kentucky Consumer Protection Act. We have that avenue of damages. And we also have the avenue to go after the recording fees that have been dodged as a result of this mortgage transfer scheme.”

New York, Delaware and Massachusetts have also filed suit against MERS.

Kentucky Attorney General Jack Conway has sued Spencerian College for allegedly misrepresenting job placement numbers to consumers.

Conway said Wednesday at a news conference in Frankfort that the for-profit school violated the Kentucky Consumer Protection Act by making unfair, false and deceptive statements regarding the hiring rates of its students.

Spencerian operates two Kentucky campuses — one in Lexington and one in Louisville.

Conway says in some cases, Spencerian's advertised rate of job placements was 30 or 40 percent higher than the rates reported to its accreditor.