HARRISBURG, Pa. (WHTM) – Pennsylvania State Attorney General Josh Shapiro announced a multi-state settlement that recovers $34.2 million for 46,000 service members and veterans nationwide who were “deceived” by Harris Jewelry.

According to the AG’s office, the jewelry company “used deceptive marketing tactics to lure active-duty service members into a financing program, falsely claiming that doing so would improve their credit scores.”

Shapiro says service members were “tricked into taking out high-interest loans for thousands of dollars on overpriced, poor quality jewelry.”

The agreement, negotiated by 18 states and the FTC, orders Harris Jewelry to stop collecting debt from the service members they deceived and take appropriate action to correct their poor credit scores.

At least 87 service members in Pennsylvania who borrowed more than $100,000 will receive restitution.

“Harris Jewelry preyed on active service members and veterans,” said AG Shapiro. “The people who willingly place themselves in harm’s way in order to protect our freedoms deserve better. With today’s agreement we’ve reduced the crushing debt Harris Jewelry placed on our service members and veterans and won them their hard earned money back. Let this be a warning to other companies, anyone who tries to scam our heroes who serve will have to answer to me.”

A multistate investigation found that Harris Jewelry violated the FTC Act, the Truth in Lending Act, the Electronic Fund Transfer Act, the Military Lending Act, the Holder Rule; and state laws in connection with jewelry sales and financing to members of the military.

The AG’s office says Harris Jewelry made false or unsubstantiated claims that financing jewelry purchases through the company would result in higher credit scores. They misrepresented their protection plan and failed to include written disclosures in its retail installment contracts as required by the Truth in Lending Act and the Military Lending Act.

Harris Jewelry also offered service members protection plans on the jewelry, which they claimed was optional, but was added to nearly all eligible transactions without the consumer’s consent. The costs of the protection plans ranged from $39.99 to $349.99 and in some cases, exceeded the wholesale cost Harris paid for the item.

Eligible service members and veterans will receive an email and letter in the mail notifying them of today’s agreement and if they qualify for restitution.

Joining Attorney General Josh Shapiro in today’s agreement which was led by New York and the FTC are the attorney generals of California, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas, Louisiana, Maryland, Nevada, North Carolina, Virginia, and Washington.

Pennsylvania service members and veterans who believe they may have been scammed should reach out to the Office of Attorney General’s Military and Veterans Affairs Office by emailing  pavets@attorneygeneral.gov or calling 717-783-1944.