March 28, 2019
The North Carolina attorney general filed a motion to dismiss a bankruptcy filing by the owner of Apex nonprofit Ry-Con Service Dogs, court documents show.
On March 15, Attorney General Josh Stein moved to dismiss Mark Mathis' Chapter 13 case - which was filed on Nov. 14, 2018.
The motion states Mathis took payments for service dogs when he knew the dogs were not properly trained.
"Many of the dogs these consumers received were not house-broke and had not received even the most basic of training, let alone training as a service dog," the motion states.
Mathis used Ry-Con's operating account for personal expenses, the court filing says.
Mathis spent more than $25,000 at Amazon, $5,000 at Walmart and more than $9,000 to multiple credit card companies, the filing says. He also spent more than $12,000 at grocery stores, $9,000 at restaurants and $6,000 in clothing purchases.
The filing also says Mathis moved more than $70,000 worth of PayPal payments meant for Ry-Con into his personal account.
The attorney general says his office has received at least 52 complaints against Ry-Con with 44 of those offering proof behind the complaint.
If the Chapter 13 filing is dismissed, Mathis can be held responsible for any debt he has accrued.
He has 21 days to respond to the motion.