LAS VEGAS — Henderson City Councilman Dan Shaw is accused of giving predatory loans with interest rates over 700% while allegedly presenting firm as a tribal lender to avoid liability.

A class-action lawsuit was filed in Wisconsin on June 26. Another lawsuit was filed in Illinois on May 30 with the District Court for the Northern District of Illinois.

Defendants have not yet filed responses to either lawsuit.

In the Illinois complaint, plaintiffs are seeking relief for damages under the Illinois Predatory Loan Prevention Act, Illinois Consumer Fraud Act and the RICO Act.

Plaintiffs also want the court to declare loans void and issue an injunction so that defendants cannot collect on loans given out. The annual interest rate on one of the plaintiff’s loans was over 700%, when Illinois law limits interest rates to 36%, the lawsuit claims.

Defendants named in the Illinois lawsuit are Shaw; his business partner Greg Jones; Green Arrow Solutions; Integra Financial Services, LLC; and Nevada Impact Management, LLC. Shaw and Jones are managers for Nevada Impact, and they created Integra and Green Arrow Solutions, according to the allegations.

The complaint alleges that Shaw and Jones, under Green Arrow Solutions, schemed to make illegal high-interest loans on the internet while presenting Green Arrow Solutions as a tribal entity, the Big Valley Band of Pomo Indians, to avoid state and federal laws limiting high interest rates.

The complaint details that lending businesses frequently “rent-a-tribe,” where they claim their businesses are owned and operated by Native American tribes. Loans are made in the name of a Native American tribe, which shields the business from state and federal laws against charging unreasonably high interest rates.

Suit claims $787.28 in interest charged on $350 loan

One of the plaintiffs took out a loan with Green Arrow Solutions for $350 last year, according to the complaint.

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