Midland Funding LLC filed a lawsuit against me for an alleged debt they allegedly purchased from XXXX. I had sent them a Notice of Dispute/debt Validation but they did not validate the debt. I settled with them for a nuisance value of {$1000.00}. However, they have issued a XXXX for cancelled debt which is not mine. I have disputed this XXXX with IRS and Midland, who have failed to provide proof of ownership or validation of this debt. 

Also, this issue arose XX/XX/XXXX and Midland Funding issued the XXXX directly to IRS with NO copy to me or my Attorney. Is this legal? this is under-handed tactic and I only became aware of this as I was audited by the IRS XX/XX/XXXX for failing to declare this XXXXof XX/XX/XXXX, of which I had no knowledge.