California Funeral Directors Association Scandal similar to Illinois-YourFuneralGuy

The similarity between the California Funeral Directors Association and the Illinois Funeral Directors Association seem to Go on on and on.

In California and Illinois the value of the trust Fund was inflated so that those holding the trust could take/make more money out of the fund.

In each case the Funeral Directors Association in Illinois and California misappropiated the folks funeral Funds for lobbying, conventions and other projects.

In each case the lawyers on both sides disagree as to the facts.

The audit also found the trust failed to pay at least $1.6 million it owed to consumers, their estates or the state treasury in cases where funeral homes went out of business or families paid for funeral services because they didn’t know their loved one had a prepaid plan.

The audit found that $4.2 million was improperly spent on administrative fees for the participating funeral establishments over eight years. The trust improperly inflated its income in 2001 and 2002 so it could pay $4.8 million in administration fees to the fund’s trustee, Comerica Bank, and Funeral Directors Service Corp., which administered the fund, the audit found.

The department also has ordered the funeral homes and trust administrators to make up for lost investment income from money that was siphoned away from the trust.

In a joint letter, attorneys for the fund trustee and fund administrator disputed many of the report’s findings. They called them “factually and legally inaccurate.”

The attorneys said the trust always intended to follow state law and regulations.

via www.sfgate.com

Funeral Industry|Funeral News| Funeral Blog by Your Funeral Guy

Six States, four companies, Green Cremation Possible-yourfuneralguy

Six states and four companies make alkaline hydrolysis, resomation, water resolution or Green cremation possible.

The Four companies and individuals who have n alkaline hydrolysis machine are:
1.Resomation Ltd, Scotland via Sandy Stevens.
2.Cycledlife, Via Joe Wilson Bio Response Solutions, Inc
3.Natural Cremation, Via Joel Collins, Eco-Green Cremation Systems, Inc
4 Water Resolution, Via BioSafe Engineering Inc, Russell Cooper Director of Business Development.

The six states that have permitted alkaline hydrolysis machines are:

While resomation is gaining popularity in Europe it is currently only approved in six U.S. states - Maine, Colorado, Florida, Minnesota, Oregon and Maryland – with reviews being conducted in several more.via www.gizmag.com

Funeral Industry|Funeral News|Funeral Blog by Your Funeral Guy

Your Funeral Guy Exclusive|California Funeral Directors Association Scandal

Your Funeral Guy First reported on the California Funeral Directors Association(CFDA) on January 7th, 2010. Click Here for the report.

Now that the scandal has received local coverage in California we can report on this matter more fully because my research has been verified by a State Audit. The scandal is quite similar to the Illinois Funeral Directors Association Scandal. Right now the dollar amount is less than The IFDA Preneed Trust Scandal. That could change.

Early audits in the IFDA Preneed trust scandal did not reveal the extent of the problem. Later on Gross Misappropriation of the Folks Money was discovered. The current situation involves the California Master Trust.

Now that there is  a second maor Funeral directors association scandal the national media may take note.

Do Not Hold your Breath.

The audit was the first to find systematic problems with a funeral trust fund(California), Wallinder said. Typically, auditors find problems involving individual funeral homes or trusts set up for individual consumers, he said.

In this case, the department ordered the trust’s governing board to return more than $2 million that was spent on lobbying and conventions for the California Funeral Directors Association. Some of the money already has been paid back, auditors said.

The audit also found the trust failed to pay at least $1.6 million it owed to consumers, their estates or the state treasury in cases where funeral homes went out of business or families paid for funeral services because they didn’t know their loved one had a prepaid plan.

via www.mercurynews.com

Funeral industry|Funeral News|Funeral Blog by Your Funeral Guy