In a significant legal development, a company accused of misleading veterans seeking federal benefits has agreed to a $2 million settlement following a lawsuit by Arizona Attorney General Kris Mayes. Despite this victory, Mayes urges further legislative action to safeguard veterans.
VetLink, operational from 2019 to 2024, offered assistance in navigating the disability claims process for veterans—charging fees for services it was not accredited to provide by the U.S. Department of Veterans Affairs (VA), as stated in the lawsuit.
The core allegation is that VetLink employed deceptive tactics, including misleading veterans into believing it could perform tasks reserved for VA-accredited entities.
“My office will not allow companies to exploit veterans who are simply trying to access the benefits that they bravely earned,” Mayes emphasized.
The Allegations
In 2022, VetLink co-founder Gerard Rodriguez received a cease and desist letter from the VA, declaring the company’s operations illegal due to lack of accreditation.
Despite a second notice in 2023, the company continued its services in Arizona and beyond until March 2024, charging veterans exorbitant fees, claimed to be five times the benefits increase received from the VA.
“And that’s upwards of as much as $20,000 taken out of these veterans pockets,” Mayes stated.
The Arizona Department of Veterans Services provides free counseling for benefits applications, said Director John Scott, contrasting VetLink’s costly services.
The Legislative Call to Action
Mayes has called for the Arizona Legislature to enact stricter laws against unaccredited businesses like VetLink. Currently, no state laws explicitly forbid such operations.
Rep. Stacy Travers (D-Phoenix), an Army veteran, has proposed bills to mandate VA accreditation for benefits consultants. However, industry lobbyists have resisted these measures, sometimes successfully diluting proposed legislation.
“I clocked what was happening, and I looked over at the committee chair and said, ‘this just basically guts the bill,’” Travers said. “And he kind of sheepishly looked at me and said, ‘yes, it does.’”
Rep. Aaron Marquez (D-Phoenix) highlighted the need for increased funding for the state’s Department of Veteran Services to enhance free assistance for veterans.
The Settlement and Future Measures
Under the settlement terms, VetLink’s founders agreed to pay $1.95 million, with $1.2 million designated for restitution to affected veterans.
Another $700,000 will support the Consumer Protection-Consumer Fraud Revolving Fund. Mayes intends to request authorization to use these funds to combat veteran-targeted scams, as stated by Julia Romero Gusse, a former VA advisor.
“They’re renaming, rebranding and still doing the same crimes,” Romero Gusse noted.
VetLink was acquired by REE Medical in June 2024, a company that helps veterans bolster VA claims with medical evidence, though it disclaims any VA accreditation on its website.
The settlement restricts VetLink’s founders from preparing veterans’ benefits applications unless they obtain VA accreditation.
