State accuses TWR owners of misusing funds

LAFAYETTE, Ind. – Indiana Attorney General Greg Zoeller filed an amended lawsuit Monday against Tippecanoe Waste Removal, Inc. accusing its owners of using corporate funds to pay for personal expenses.

On Jan. 30, Zoeller filed a lawsuit against the former Lafayette-based business for failing to collect trash after taking upfront payments from its customers. The amended lawsuit names owners Kurt Kanable and Melissa Kanable as defendants in addition to TWR, because corporate bank records raised concerns about the use of funds.

According to the lawsuit, the Kanables are accused of using customer’s payments for personal expenditures including child support, student loan payments, children’s clothing, groceries and video games.

In a press release to News 18, Zoeller said he will continue to diligently pursue this case and seek restitition for consumers.

“The allegations regarding the comingling of corporate and personal funds are certainly of significant concern. My office intends to hold those that were personally responsible for consumer losses accountable,” said Zoeller. “This action today is a step toward finding where the consumers’ payments went and identifying any assets that could go toward consumer restitution.”

Zoeller said 766 consumers have submitted complaints to his office so far – up from 318 since the original lawsuit was filed. Consumers who are part of the lawsuit reported losses ranging from $10 to $231 and totaling $47,160.

Tippecanoe Waste Removal posted a message on its website in January stating the company shut down and claimed all of its accounts would be transferred to a separate company known as Waste Management. The website also stated the new company would honor payments already made to TWR, but Waste Management did not acquire the accounts.

The company is accused of violating the Deceptive Consumer Sales Act and the state seeks a permanent injunction, consumer restitution, civil penalties and investigative costs.

Consumers who made payments to TWR, but did not receive services can still file complaints with the Attorney General’s Office by calling 800-382-5516 or online through the Attorney General’s web site.

Zoeller stopped by News 18 at Five to discuss the amended lawsuit with TWR. He also discussed the federal lawsuit filed against Indiana over the state’s same-sex marriage stance. Watch the video above to view Zoeller’s responses concerning both topics.

Court documents filed:

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