AG accuses Las Cruces business of fleecing veterans

LAS CRUCES — A business offering assistance in accessing veterans’ benefits was decried by New Mexico Attorney General Raúl Torrez as a predatory “claim shark” operation in a lawsuit filed Thursday in 3rd Judicial District Court.

Disabled Veterans Consultants, whose offices are located in a Las Cruces shopping plaza, is accused in the complaint of deceptive business practices and operating without required federal accreditation in violation of New Mexico’s Unfair Practices Act.

Torrez announced the litigation in a news conference at the Veterans of Foreign Wars headquarters in Las Cruces. Flanked by veterans, he called out the business “for engaging in deceptive trade practices and fundamentally taking advantage of a group of American citizens to whom this nation owes a tremendous debt.”

The lawsuit alleges Disabled Veterans Consultants assists veterans with benefit applications for exorbitant and unlawful fees. Veterans are entitled to free assistance through accredited consultants.

The company is also accused of marketing its services by suggesting they can speed up the process and elevate applicants’ disability ratings in order to increase benefits, while doing neither.

“This kind of conduct will not be tolerated by my office,” Torrez said. “We will be aggressively investigating anyone who’s engaged in this conduct.”

Besides Disabled Veterans Consultants, the lawsuit names Las Cruces residents John Sise and Graciela Lujan, who are listed as the firm’s directors in state business records showing the for-profit company was registered in 2020. Also named are three companies registered in California and allegedly interrelated with the Las Cruces organization: Zeplin Global Group, MJJL Holdings and GTM Bookkeeping.

On Thursday afternoon, an employee who answered the door at DVC’s locked office suite said she was unaware of the lawsuit and had no comment. A staff member answering the corporate phone number said, “We have no comment at this time.” Efforts to reach the other businesses were unsuccessful.

“Claim sharks often charge astronomical fees, rates equivalent to five to 10 times their monthly VA benefit payment,” Brian Ravak, the Veterans of Foreign Wars’ state commander, said at the news conference. “These fees can place a veteran in debt simply by trying to access their earned benefits. This is unethical and illegal.”

He urged veterans to contact organizations such as the VFW, the American Legion or Disabled American Veterans for referrals to authorized, free assistance with VA benefits.

The DOJ is seeking full refunds for DVC’s clients and a $5,000 penalty for each violation of the law, a permanent ban on illegal business operations, rescission of its contracts and recovery of legal fees and costs. In a news release, the office called for veterans who had paid for the company’s services to contact the office at 505-490-4060 or online at NMDOJ.gov/get-help.

House Bill 245, a bipartisan measure that would have prohibited charging fees for processing VA claims except where allowed under federal law, stalled in the House Judiciary Committee during this year’s legislative session.

Ravak said veterans’ organizations would work with lawmakers to reintroduce the measure in 2026, and Torrez pledged his support as well.