A group supporting a crackdown on payday lenders charged yesterday that Ohio voters often are being misled by petition circulators working on behalf of those lenders.

One circulator of the referendum petition even twice referred to payday lenders as "loan sharks" as he worked on the lenders' behalf.

Payday lenders, under the name Ohioans for Financial Freedom, are trying to collect the 241,365 valid signatures of registered voters needed to qualify for the November ballot. If successful, voters will decide whether to keep the current payday lending law, which allows an annual 391 percent interest rate, or permit a new law to take effect that sets the rate at 28 percent.

Lenders say the new law will close most of their 1,500 stores, putting up to 6,000 people out of work.

Sandy Theis, spokeswoman for the Protect HB 545 Committee, said she approached 12 petition circulators. Two told the truth about the issue, she said, while nine incorrectly stated that the referendum would lower interest rates. One, Theis said, told her she could not vote on the issue in November unless she signed the petition, which is not true.

Theis recorded some of the interactions, including one last week with a circulator outside the Rhodes Tower across from the Statehouse.

"We're trying to lower the payday interest loan rates in the state. These guys are legal loan sharks, and we want to regulate 'em," the man said.

When Theis pressed about interest rates, he responded, "This is going to regulate it to a 5 percent rate and give the people 30 days to pay it back."

Actually, the referendum would let lenders continue to charge $15 per $100 on a two-week loan -- a 391 percent annualized rate. Plus, lenders would not be required to offer 30-day loans.

In all, those speaking at an afternoon news conference cited about 20 encounters with circulators in which they said they were told bad information about the issue. Two people from a Butler County homeless shelter said they were offered $1 each to sign.

"There is a good chance the misinformation is what they're trying to push," said Rep. Robert F. Hagan, a Youngstown Democrat and payday law supporter. He said he and his son spoke to a few circulators, and none made truthful statements.

Kim Norris, spokeswoman for Ohioans for Financial Freedom, said each of the hundreds of circulators working statewide is provided "extensive training on their task and what they can and cannot say."

Circulators are told to stress the protection of 6,000 jobs, protection of financial freedom and choice and privacy of personal finances. Norris did not indicate that circulators are told what to say if someone asks about the interest rate.

"If anyone has any actual evidence that something was said incorrectly, we ask that the circulator's name be obtained, and we will take swift action to investigate and remove the employee if necessary," she said.

The Protect HB 545 Committee is not planning immediate legal action.

Theis was on the other side of signature complaints a year ago when she worked for a coalition of strip club owners. When she learned of those problems, Theis said, she wrote talking points for the circulators and conducted training.

"I didn't want people out there lying," she said. "In this case, we are seeing a pattern around the state to misrepresent people. We want the people who are paying for this effort to knock it off."

jsiegel@dispatch.com