The Consumer Financial Protection Bureau asked a federal court Tuesday to shut down a California company accused of running a student debt relief scam that allegedly charged borrowers millions in illegal fees.

The CFPB's complaint, filed in California's Central District Court, seeks to ban James Krause, the owner of Student Loan Processing.US, of Laguna Nigel, Calif., and the company from any future involvement in debt relief and student loan services. The company also would have to refund thousands of customers and pay a civil penalty.

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