On March 17, the U.S. District Court for the District of North
Dakota granted Intercept Corporation ("Intercept"), Bryan
Smith, and Craig Dresser's Motion to Dismiss the Consumer
Financial Protection Bureau's ("CFPB") Complaint in
the case between the CFPB and Intercept. The decision to grant the
Motion to Dismiss marks the first time that the Bureau has had its
entire case dismissed through a motion to dismiss.
The CFPB filed a Complaint against Intercept, Bryan Smith, and
Craig Dresser in June 2016. The CFPB alleged that Intercept
continually processed transactions for clients "they knew, or
should have known, were making fraudulent or other illegal
transactions" and that Intercept ignored certain "red
flags" related to fraudulent or illegal transactions. These
actions violated the Consumer Financial Protection Act's
prohibition against unfair and deceptive practices, according to
the CFPB's Complaint. Intercept filed a Motion to Dismiss the
Complaint in August
