HARTFORD, CT - Attorney General Richard Blumenthal and Department of Consumer Protection (DCP) Commissioner Edwin R. Rodriguez sued CTX Mortgage Company for illegally raiding its competitor for employees and secret consumer lists.

Nevada-based CTX operates a residential mortgage financing office in Milford. One of its competitors, Charter Oak Lending, LLC, provides the same services out of Danbury doing business as Danbury Mortgage.

In September 2004, CTX met with one or more employees of Danbury Mortgage at a training conference in which it allegedly began a strategic effort to recruit Danbury Mortgage employees over the following months and years.

In exchange for bonuses and other benefits, CTX used these employees to continue recruiting additional employees from Danbury Mortgage and access confidential information about its competitor, including consumer lists, loan applications and referral sources. CTX eventually opened an office in the Danbury area staffed entirely with employees it recruited from Danbury Mortgage.

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