Tuesday, May 13, 2008

City to shut down payday loan business in Northeast

Scoring a victory for residents who have tried to limit the number of of payday loan and check cashing businesses along Independence Ave., the City on Tuesday denied an appeal by one business to continue operating.

For the last eight years, ACE Cash Express at the corner of Independence and Elmwood avenues, has operated without the proper zoning or documentation. It was not discovered, however, until last November when owner Russell Denson tried to sell the business and was denied.

The city noticed he had not been registering his business correctly despite being open and holding a valid business license since 1999.

In 2000, the city altered the ordinances that required payday loan operations to receive special permission from the city to operate. Denson, who lives in Houston, said he never received any notification and continued to run his business unaware of the ordinance change until the error was discovered late 2007.

The city, however, was able to prove that the owner of the building did receive notification back in 2000.

His appeal, which was formally heard on Tuesday afternoon, failed.

For more on this, check here and for next Wednesday's Northeast News.

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