Illinois Comptroller:Funeral|Cemetery Regulator needed-yourfuneralguy

State of Illinois Comptroller Dan Hynes recently stated that more Funeral|Cemetery Regulation is needed in Illinois. He stated  that a  Regulator in the State of Illinois needs to be empowered.

He defended his role in the Illinois Funeral Directors Association(IFDA)Ponzi Scheme saying he did a good job based upon his regulator Authority. Hynes suggested that the that either his office or the Illinois Department of Professional Regulation should regulate cemeteries.

Funeral Directors in Illinois are quite upset with the Comptroller for the way he handled the Illinois Funeral Directors Association Mess.

Some Funeral Home are out millions. Others may be forced out of business. Funeral Directors are especially upset about his agrreement with Merrill Lynch(18 million) with a get out of Jail Free Card.

In part this is a reaction to the Burr Oak Cemetery Scandal.

From the State Journal Register

“Hynes said there are gaps in state law regulating the cemetery and funeral industries. And he said regulating the death industry might not be a good fit for the comptroller, whose central mission is maintaining the state’s financial records and issuing checks.

The comptroller issues licenses to cemeteries and to funeral homes that sell pre-need funeral contracts to the public.”

Should the Comptroller regulate Cemeteries….Will regulation raise or lower funeral cost?

Funeral Industry|Funeral Blog Industry Blog by Your Funeral Guy

Burr Oak Cemetery Scandal|Comptroller proposes reform-YourFuneralGuy

The Illinois Burr Oak Cemetery Scandal has prompted quick proposals for cemetery reform.

The Comptroller from the State of Illinois has proposed reforms in response to the Burr Oak Cemetery Scandal. Politicians whose district includes the cemetery have brought pressure on

State of Illinois Dan Hynes to make reform happen quickly.

Reform is needed but other  recommendations from local experts and the Illinois House Funeral and Burial Prearrangement Task Force need to be considered.

Cemetery “Experts” from outside of the State of Illinois have been stating that reform needs to be passed today or tomorrow.

The problem is that there is a crossover between funeral sales and cemetery sales.

This occurs in the area of Preneed, or prearranged burials and funerals.

Funeral preneed sales people are not licensed in the State of Illinois and the same sort of preneed burial plot scam that went down at Burr Oak  Cemetery has been put up by the non licensed funeral preneed people.

Both funeral Preneed and cemetery preneed folks need to be licensed.

In the Burr Oak Cemetery Scandal 300 Graves were dug up, bones were piled high and 100,000 graves need to be accounted for.

The Good news is that Governor Pat Quinn wants to move more cautiously with reform.

Grave desecration should never be tolerated. Dismemberment of human remains is a felony. The people at Burr Oak Cemetery did heinous acts.

Summary from the Comptroller’s July 15th press release.

All cemeteries and their staff who sell cemetery plots and other goods would be required to be licensed through the Department of Financial and Professional Regulation…..

Cemeteries would be required to provide reasonable maintenance based on standards enforceable by both state and local officials.

Requires cemeteries to keep detailed records and maps…..

Creates a consumer bill of rights, including requiring cemeteries to provide consumers with a booklet in plain English detailing those rights under the law.

Extends crime victims assistance eligibility to family members of those who are victims of the crimes charged at Burr Oak Cemetery.

Provides a cost of living increase for public aid burials…….

Funeral Industry|Funeral Blog by Your Funeral Guy

Amended Illinois Funeral Lawsuit blames State Comptroller-yourfuneralguy

The State Journal Register has another interesting IL Funeral Mess Article

The  “Funeral Directors Lawsuit” against the Illinois Funeral Directors Association Lawsuit was amended and filed  on 6.12,09. New defendants were named.  A section of the lawsuit blames the office  of the comptroller of the State of Illinois “Dan Hynes”. The way this regulator handled this situation should be questioned.

There is an argument that the comptroller’s hands were tied because the Comptrollers Office is not a banking regulator. In fact the regulation of the IFDA preneed trust was set up under then Comptroller and now Senator Roland Burris. The fact is that the IFDA  Trust was not set up as a corporate fiduciary with a banking regulator. This  cleared the way for the fraudulent ponzi scheme courtesy of the IFDA and Roland Burris.

Now this does not take away responsibility of the State of Illinois or the comptroller in this matter.

On 6.16.09 The State Journal Register quoted the lawsuit on the State (IL) and the Comptroller.

“Even state regulators who took on the responsibility for monitoring the pre-need trust failed to protect plaintiffs and other pre-need trust depositors,” funeral directors say in court documents filed Friday.

“Indeed, when questioned by funeral directors on why the issue was not addressed in 2001, when the (Illinois Office of the Comptroller), but not the funeral directors, knew of a budding deficit, the (comptroller’s) response was that the deficit was ‘pennies on the dollar,’ as if that excused (the comptroller) from doing anything about it.”

Many can be blamed in this mess but the main culprits are the IFDA Leaders with sticky hands out.

Funeral Industry| Funeral Blog  by Your Funeral

Comment on Government Verses Association in Il. Funeral Mess|Your Funeral Guy.

Your Funeral Guy held off in posting this in hopes of trust and honesty in an e- mail from the IFDA.

Again I am letting MarcellusM710 write here on the Illinois Funeral Directors Association Ponzi Scheme. I delayed posting this.  I  waited to receive an e-mail from the IFDA on this. A last minute hope for Trust and honesty from those folks. No Surprise, no trust, no honesty.

This writer is right on 2 Things.

1.) Merrill Lynch, Bank of America and the US Treasury could have bailed out this mess.

2). “I believe that Merrill Lynch has plans to drive the entire trust into the ground to the point it has no value”(psst.. this is an old Merrill Lynch Trick to get rid of distressed assets.)

“Dear Funeral Guy and Funeral Service Colleagues,

It has been a while since I’ve commented on the subject matter at hand. I had to have time to “Cool The Engines” (Classic Rock music by Boston). It has taken so much personal self control not to absolutely blow a head gasket over the short-sightedness of our regulators, namely Michael T. McRaith, Acting Secretary of the IL Dept. of Financial and Professional Regulation, and Director of the Division of Insurance (per IDFPR website), and our illustrious Comptroller, Daniel Hynes. These gents seem to believe that having Merrill Lynch settle their debt for $18 million on a $59 million write down is good business, and good enough for the folks who hold contracts. And we wonder why the State of Illinois has nearly a $12 Billion deficit????

Mr. McRaith in his May 20th press release titled “Illinois Division of Insurance acts to protect 47,000 IFDA Illinois consumers, reaches $18 million resolution with Merrill Lynch Life Agency”
said and I quote “This stipulation and Consent order ensures that the well-publicized IFDA challenges do not hurt the more than 47,000 Illinois families who prepaid for funerals.” “In addition, this resolution supports hundreds of funeral directors who face financial burdens like many other small businesses.”

Mr. McRaith, you know nothing about small business because you’ve never owned/operated a small business. Your a bleep bureaucrat that doesn’t understand the fallout / repercussions your actions will produce if not stopped by the Federal Court and ordered to pursue further recoupment of assets.

The press release makes it sound like all account / contract holders are being redeemed. Not so fast. If one does the math you will observe that 18 million divided by 47 thousand equals $382.98 per account. A hell of a payback for accounts written down by hundreds to thousands more that that. By the way, current math indicates that all accounts in the tax-exempt trust face a write-down of 41.7%. When will MLTC be forced to move the monies away from mark to market accounting principles? I believe Merrill lynch has plans to drive the entire trust into the ground to the point it has no value, as payback.

Now the real kick in the shorts, ONLY THE NON GUARANTEED CONTRACTS ARE COVERED BY THE $18 MILLION SETTLEMENT!!!! Why Mr. McRaith are you not holding Merrill Lynch liable / responsible for ALL the accounts irregardless if the contract states Guaranteed or Non-Guaranteed since ALL the accounts suffered the same write-down???
As the man with the POWER on the regulatory side of the equation, I believe you have “SOLD OUT” the People of Illinois and the businesses that the People entrusted their monies to who were in turn duped by members of their state association and Merrill Lynch, and exposed to further damage by the Comptroller when he FAILED to listen to his field auditors in 2002 when there was a $10 million deficit discovered. The Trust should have been shut down then.

"Where Oh God is the Justice in all this?"

I predict that the only people who will do jail time ever on this whole ordeal will be the funeral director whose business folds/fails/etc. and cannot deliver on a contract because of a multitude of accounts coming due and not enough in the accounts to cover merchandise and cash advances at cost. Marshall Hynes and his sidekick Deputy McRaith will be there to make an example out someone before this is all over. Meanwhile, those in the know that were on the IFDA Boards, both regular and executive,walk free along with Mr. Schainker, who only gets a $100,000.00 fine (MAXIMUM ALLOWED UNDER STATE STATUES, HAHAHA, ON MILLIONS MADE IN COMMISSIONS). Where oh GOD is the justice in all of this???

By the way FuneralGuy, IF we sign our release to the Comptroller’s Office to accept the “Settlement” we also give up the right to seek further damages in court from any Merrill Lynch entity, including Schainker, the State of Illinois, ie the Comptroller. and so forth. If I sound ungrateful for the $18 million, I am. It is pennies on the dollar for what could have been far better settlement.

Remember my equation a few articles ago about my version of a settlement?
Merrill Lynch + Bank of America divided by TARP Funds = possible recoupment of $59 million + dollars.
It isn’t going to come to fruit, but it was a good thought.

A Chicago Style Back room meeting in Springfield with regulators will not solve this problem-YourFuneralGuy

There has been a meeting called in Springfield, IL on Thursday, June 4, 2009 at the IDFPR Bldg. at 11:00a.m. One must RSVP via FAX at 217-524-9033. Hopefully ones rights to free speech will be allowed at this gathering. I understand Mr. McRaith runs these with narrow latitude and intolerance for opposing viewpoints.

I would like to know if Mr. McRaith is a Ryan or Blago appointee?

Chao for now,
MarsellusM710″

MarcellusM710 are his comments and not those of Your Funeral Guy.

Funeral Industry| Funeral Blog by Your Guy.

The consumer may be asking:

Why is all this here? Here is why

State of Illinois Picture  and Quote under the creative commons license and quote from

Mike Licht, NotionsCapital.com ’s photostream

It’s Bad, its Sad |Illinois Funeral Directors Assoc.will be gone-yourfuneralguy

In one year the Illinois Funeral Directors Association will be gone

It s Bad and Sad for the Illinois Funeral Directors Association They are hanging on to the past when they should be looking to the future. The Grim Reaper is staring down face of the Illinois Funeral Directors Association.

First, the Illinois Funeral Directors association  is not willing to change. They have chosen a poor and good old boys lineup of speakers for their Convention.

Randall L Earl-The Embattled NFDA Executive Secretary- has brought the Organization down, he has been Named in 4 lawsuits. There is evidence that this former IFDA President started the decline of the IFDA Preneed Trust. He may have fraudulently setup the Museum of Funeral Customs. If there is to be a new IFDA he should be let nowhere near the Convention center let alone the podium.

IFDA, NFDA Leaders and Merrill Lynch contributed to the Demise

Jeffrey L. Byran-According to the convention brochure: Jeff  works with the Merrill Lynch guys. Why have someone speak who is in with the folks taking your organization down?

James D. Bosma- The current IFDA President is also named in 4 Lawsuits. He said in the 2009  “IFDA Yearbook”  Common sense and plain dealing…..I believe that the mistakes of the past. were honest mistakes” Honest mistakes do not result in 4 lawsuits multigovernmental investigations, and months of negative press. (Source: the convention Brochure and the Yearbook)

The Comptroller and other State of Illinois regulators have driven nails in to the IFDA coffin.

Second, they are facing an almost  10 million dollar payment demand from The Comptroller of the State of Illinois.

Check  this out in the State Journal Article: Hynes demands $10M from funeral directors

Third the COMPTROLLER of the STATE of Illinois has taken over the administration of an 18 million dollar semicriminal settletment with Merrill Lynch.  The Funds belong to the IFDA Preneed Trust,the citizens of the state and the funeral homes who sold the policies. This infuriates funeral directors in the State.

Read: “Merrill Lynch agrees to settle funeral fund case for $18M

For these reasons and others the Illinois Funeral Directors Association  will soon check out for good. The IFDA will be gone. They will layoff everyone.

“My prediction is that the Illinois Funeral directors association  will be out of business by this time next year.”-yourfuneralguy

The lesson here for Consumers in Illinois is to avoid IFDA Preneed, for funeral directors start over, elect good leaders.

There will be no new Funeral Directors Association in Illinois this year, 2009.

Funeral Industry|Funeral Blog by Your Funeral Guy

Revealed Comment on Illinois Funeral scam,-Your Funeral Guy

Funeral Scandal in the land of Lincoln-Illinois

A significant comment was made on last blog post.

“Funeral Guy and Friends,
The plot thickens here in the good ole’ Land of Lincoln.

Regarding the article in the Springfield State Journal-Register the comment from the AARP consumer advocacy lady Nancy Nelson. It would pay Ms. Nelson to do her homework on the facts of the IFDA Trust debacle. She obviously hasn’t a clue what went on and what is going on. She needs to know that we in Illinois do not need any additional oversight, because that is in place and suppose to be done by Dan Hynes and Company (Cemetery Care and Burial Trust Div.) at the Comptrollers Office, who still has some answering to do to those of out here who suffered substantial losses by not notifying us immediately when they saw the potential disaster awaiting us.

Funeral Corruption in Illinois

No doubt the Illinois Funeral and Burial Funds Act needs a serious update. Placing it under the watch of additional regulatory agency(s) IS NOT THE ANSWER. If all of the critics will remember IFDA sent us F.H. owners and account holders earning statements. while Schainker, Dixon, and the Fraternal Brothers and Sisters of the “Secret Society” (Board Members) were playing “Let’s Get The Commissions” of converting cash to insurance and placing us at risk.

It has been said by Hynes’ Office that he felt the Cemetery Care and Burial Trust Div. of his office needed to be regulated by another entity like the div. of insurance or banks and Trusts under the the Department of Finance and Profession Regulation. A Idea I tend to agree with, however I might prefer the IL Secretary of States Office. Anyway, that doesn’t matter right now, Change IS coming, to borrow a line from Mr. O’bama.

I’m going to ask a favor of you and to back off your harsh comments of Duane Marsh. He is walking though a mine field of issues and is being somewhat misguided by the remaining board members of IFDA who have chosen to ignore several resignation requests by it’s membership and stayed on for spite. In the very near future IFDA will have new people (hopefully) in place to try to set a new course and direction for IFDA, and the very people who deserve it, the membership and the families they serve. I think he is calling NFDA to ask for help in getting copies of Trust laws from throughout the land. Maybe Mr. Earl (Randall L Earl, NFDA executive secretary)offered his help, being the all important person he believes himself to be. Just what does Mr. Earl bring to the table of funeral service anyway??? I have yet to hear him speak at meetings of IFDA functions or show any leadership skills that tell me there is a true leader. That old saying comes to mind, “If you can’t dazzle ‘em with brilliance baffle ‘em with B.S.”.

I’ve missed something about our friend Mr. Earl. I see you have him as being is three lawsuits. I know of the Consumer Class Action and the Derivative Suit, what is the third if I can ask?

I just wonder when a Federal Grand Jury is going to take a look at this ordeal.

Thanks for the opportunity to express my thoughts.

Marsellus M710″

IFDA=Illinois Funeral Directors Association

NFDA=National Funeral Directors Association

Funeral Industry Blog |Your Funeral Guy

Governor Quinn ask Ex IFDA Pres.Charles Childs to Resign-yourfuneralguy

The State of Illinois has had an historic Funeral Director Scandal. Charles Childs Jr, of AA Raynor&Sons has played an imporant role in the Scandal. He also regulates funeral director licences in Illinois. He should not be doing that. Folks are calling on him to resign.

For the  integrity of the Funeral Industry in the State of Illinois please ask Charles S. Childs to resign. Childs should resign because of his inept management of the IFDA Preneed Trust. He should not be regulating funeral director licenses in the State of Illinois. This has been a conflict of interest for a long time.

Childs IFDA President was involved in the transfer of 2 million in management fees from the IFDA Preneed Trust in 2007.

“According to an IFDA-commissioned audit, the foundation that ran the museum received at least $250,000 annually in 2006 and 2007 from the association, which got more than $2 million each of those years from management fees generated by the trust fund.” Charles Childs, Jr.  resign because he was the Ifda president in 2007 and a good part ofthe scandalhappened on his watch.

WHAT HAPPENED TO TWO MILLION DOLLARS WHEN HE WAS IFDA PRESIDENT????

Child’s  a state official he is under investigation for preneed fraud in the IFDA Preneed Trust Ponzi Scam.  He is named in three lawsuits against the IFDA,(The Class Action Complaint, The Six Funeral Directors lawsuit against the IFDA, here, and the IFDA insurers lawsuit

State of Illinois Governor Quinn, Comptroller Hynes, Michael T. McRaith , Acting Secretary of IDFPR, I am sure you will ask Charles S. Childs Jr to resign.

Just read marsellusm710′s comments from my last blog post.

“I sure wish the IL Dept of Finance and Professional Regulation had the testicular fortitude to start asking questions of the defendants named in this Lawsuit. (Ethics and such) Oh, wait a minute…I don’t think that will begin to happen just yet…I think that there is a POSSIBLE CONFLICT that a Mr. Charles Childs, Jr. who sits on and IS (YES!, I have confirmed via IDFPR website), THEE Chairman of the Funeral Directors and Embalmers Licensing and Disciplinary Board through the IDFPR.

Here is another resignation that should be asked for!!! Illinois folks call your State Representatives and Senators.  Don’t think for one minute that the potential “Race Card” couldn’t be played here.  Mr. Childs is of African American decent, and well connected in “The community”, in Chicago both politically and socially. Appointment to the IDFPR FD/EMB Disciplinary Bd. is by political appointment usually by the Governor. (Blago???)

Many say this is the attitude the Illinois Funeral Directors Association took towards the Funeral funds of the folks in Illinois.

Trust me, there are A.A. firms injured by the Trust.”

Charles Childs Jr. IFDA Pres.2006-2007 Charles S Childs, display more integrity than Senator Burris and Resign.

Funeral Industry|Funeral Costs Blog by Your Funeral Guy.

photos from istock photo

Check out my previous article on this subject here.

Charles S Childs Jr is a public figure because he was mentioned in the press in the original SJR article in February 2008, named in three IFDA lawsuits, an exIFDA president, and a regulator for the State of Illinois.

If someone needs to verify Mr.Childs position as a regulator during the height of the ifda ponzi scheme through today, check this out.

2009http://www.idfpr.com/Forms/Memo/FDEMtgNotice02242009.pdf

2008http://www.idfpr.com/Forms/Memo/02262008FunDirEmbalmersAgenda.pdf

2007http://www.idfpr.com/Forms/Memo/082107FunDirOpenMinutes.pdf

2006http://www.idfpr.com/Forms/Memo/110106Agenda111406.pdf