New York Attorney General Andrew Cuomo has filed lawsuits against two debt-settlement companies over alleged fraudulent business practices and false advertising.

The companies are CSA-Credit Solutions of America Inc., based in Richardson, Texas, and Phoenix-based Nationwide Asset Services Inc. and affiliate ServiceStar LLP.

Cuomo has subpoenaed 14 debt-settlement companies and one law firm as part of an ongoing investigation that found that some 18,000 New York residents became customers of Credit Solutions of America between January 2003 and September 2008. CSA promised a 60 percent reduction in debt, but roughly 1 percent of consumers realized that savings. CSA has collected approximately $17 million in fees from New York-based consumers.

About 2,000 New Yorkers became customers of Nationwide Asset Services Inc. between January 2005 and May 2008. NAS promised a 25 to 40 percent debt reduction, but only one-third of 1 percent saw such savings, Cuomo reports.

For more information, see the AG's Office Web site NYDebtHelp.com.