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AG Sues Lender Denying Loans to Indians

LAS VEGAS (CN) - An auto finance company that specializes in subprime loans denies loans to people who live on Indian reservations, Attorney General Michael Mukasey says. Nationwide Nevada denied loans to people on 15 reservations, the United States claims in Federal Court.

Nationwide Nevada uses a "judgmental system" when deciding which contracts to buy from automobile dealers and the price to be paid, according to the complaint, signed by Mukasey.

Between January 2003 and July 2005 the company denied loans to applicants living on at least 15 Indian reservations in Nevada, Utah, Arizona, California and Oregon, the lawsuit states.

Mukasey demands that the company stop its "discriminatory policies," and demands damages for the Native Americans who were affected by the discrimination.

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