Douglas MacKinnon, Amy MacKinnon, Mary-Kate MacKinnon, and Matthew MacKinnon
On April 22, 2021, the Bureau filed a lawsuit against Douglas MacKinnon, who operated a debt-collection enterprise, and Amy MacKinnon, Mary-Kate MacKinnon, and Matthew MacKinnon, relatives of Douglas MacKinnon. The Bureau filed its complaint jointly with the Attorney General of New York. The complaint alleged that defendants fraudulently conveyed a house with the intent to hinder collection efforts by creditors, including the Bureau and the State of New York, in violation of the Federal Debt Collection Procedures Act of 1990 and New York state law. The complaint specifically alleged that Douglas MacKinnon transferred ownership of his home, valued at approximately $1.6 million, to his wife and daughter for $1 shortly after he learned that the Bureau and the State of New York were investigating him for illegal debt-collection activities. That investigation resulted in a $60 million judgment against Douglas MacKinnon and the companies he operated and permanently banned him from the industry. The Bureau and New York sought a declaratory judgment that a fraudulent conveyance occurred and to recover the value of the property in partial satisfaction of the $60,000,000 judgment. After the lawsuit was filed, the property was sold, and the proceeds—$1,332,226.30—were placed in an escrow account. On September 24, 2024, the court granted summary judgment on the Bureau’s and New York’s claims against Douglas MacKinnon and Mary-Kate MacKinnon, finding constructive fraud under the Federal Debt Collection Procedures Act and New York state law. The court ordered that $666,113.15 from the escrowed funds be disbursed to the Bureau and New York in equal shares. The court entered judgment in favor of Amy MacKinnon on the claims against her and dismissed the remaining claims as moot.