Tag Archives: IFDA

Illinos Preneed Scam seeks appeal in Court-Your Funeral Guy

7 Jan
Seal of Illinois. Center image extracted from ...
Illinois Scandal-Image via Wikipedia

Over a year and a half ago Icanceled my membership in Illinois Funeral Directors Association. Paying an organization that questionably handled folks  funeral preneed funds  to the tune of nearly 100 million dollars is simply something I could not do!

Recently because of other questionable actions the judge has stated that the insurance company for the Illinois Funeral Directors Association did not have to insure the debacle,  theft or ponzi scheme. Now it appears that the IFDA, Illinois Funeral Directors Association is appealing that decision.

The Illinos Funeral Directors Association has decided to appeal a federal judge’s ruling that IFDA’s insurer would not be responsible for claims resulting from litigation surrounding the association’s beleaguered Master Trust …………

“Our lawyers believe that there are several arguments that can be made during the appeal that may allow for this ruling to be overturned,” said Duane Marsh, IFDA executive director. He noted that the appeal process can take up to 12 months depending upon the court’s schedule.

via memorialbusinessjournal.wordpress.com

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

This Funeral Scandal has seen no national coverage. Tere has been very little coverage of this funeral Preneed Scandal outside of Springfield. Illinois!

Your Funeral guy Blogs covered this scandal extensively for several years. The situation now is in the Hands of the courts.

Enhanced by Zemanta

Illinois Preneed Scandal Explodes upon Association-YourFuneralGuy

16 Dec
Seal of Illinois. Center image extracted from ...
Image via Wikipedia

The ongoing Preneed Scandal in Illinois has taken a turn that may effect the financial future of Funeral Directors in Illinois and especially those of former executive Board Members including the current NFDA elected Presitent Randal L. Earl

Board Members of the IFDA may be personally liable for up to 100 million in losses.

The scandal has been going on since 2007 and intimately involves the former Senator Roland Burris(D-IL),

The Fact that some of the  many associations losses will not be covered by their association may in fact be a death blow to the Illinois Funeral Association.

 

A federal judge ruled last week that the insurer for the Illinois Funeral Directors Association would not be responsible for claims resulting from litigation surrounding the association’s beleaguered Master Trust.

In March 2009, Federal Insurance Company, which has provided up to $5 million coverage in business insurance, including coverage for directors and officers of IFDA since 2005, filed suit against IFDA stating it should not have to pay the claims associated with the previous two lawsuits — one in Circuit Court of Kane County and the other by the six funeral directors in Cook County, which alleges mismanagement of the Preneed Trust the fund by IFDA that resulted in millions of dollars in losses. The insurer claimed that IFDA did not notify the company of claims in a timely manner.

In the U.S. District Court for the Northern District of Illinois, Judge Samuel Der-Yeghiayan sided with Federal Insurance Company ruling that IFDA failed to give the firm proper notice of claims against it.

 

via memorialbusinessjournal.wordpress.com

Your Funeral Guy has been covering this since February 2008  along with the State Journal Register in Springfield, Illinios. Extensive coverage of this subject can be found at yourfuneralguy.com and lowercost funeral.com

This indeed may be the final chapter of the current  Illinois Funeral Directors Association due to the IFDA Preneed Trust Scandal.

Funeral Industry|Funeral News | Funeral Blog By Your Funeral Guy

Enhanced by Zemanta

Randall L Earl To Be Pres.Elect of NFDA|Funeral nightmare-yourfuneralguy

10 Oct
Quarter of Illinois
Image via Wikipedia

Randall L. Earl is about to be elected President  Elect Of The NFDA. This is truly a nightmare on Funeral Street. Earl is a central figure in the Illinois Funeral Directors Association Ponzi Scheme.(IFDA Preneed Trust-over 100 milliom dollars gone) Most folks are not aware of his role in this mess. As past President of the IFDA , his role in the Missuse of funds in the Museum of Funeral Customs,and involvement with IFDA Services in the scam make him an unsafe figure in anything Funeral.

The National Funeral Directors Association would do well not to Elect him President at the NFDA convention currently going on in New Orleans.

Earl is Named in all the IFDA Lawsuits and at the center of the scandal

Funeral Industry, Funeral News,Funeral Blog YourFuneralGuy

Enhanced by Zemanta

More Preneed Fraud in Illinois-YourFuneralGuy

16 Sep
Map of USA with Illinois highlighted
Illinois Image via Wikipedia

There has been another case of Funeral Preneed Fraud, another case of the Funeral Director takes your money in a prepaid funeral contract(Scam).

The most famous case of this in Illinois recently, was a scam hatched by the Illinois Funeral Directors Association in their IFDA Preneed Trust Scam where 100 million + dollars of the of the folks prepaid  funeral money in Illinois disappeared. Incredibly at the center of the IFDA scam is the current National Funeral Directors Association(NFDA) Executive Treasurer, Randal L Earl.

Snippet from the current Preneed scam Story:

A former Southern Illinois funeral director has been charged with mishandling funds from multiple pre-need funeral service contracts.

John B. Jones, a former partner with Gaskins-Jones Funeral Home in Harrisburg, faces 11 felony counts of theft and failure to deposit funds into a trust account — all dealing with pre-need funeral arrangements.

A warrant has been issued for Jones’ arrest, but as of Tuesday afternoon, he was still being sought by police, according to Special Prosecutor Charles Zalar with the Illinois Appellate Prosecutor’s Office in Springfield. Bond in the case has been set at $100,000.

The charges were filed last week by Zalar.

He alleges that Jones, 50, of Equality, Ill., accepted payment from various pre-need funeral service clients and failed to purchase life insurance policies or annuities. Jones is accused of putting the money into the funeral home’s checking account to pay for business expenses instead.

via www.courierpress.com

The lesson from the Scandal state of Illinois is to avoid funeral preneed or prepaid funerals.

Funeral industry|Funeral News|Funeral blog by Your Funeral Guy

Enhanced by Zemanta

Funeral homes selling Preneed As a Good Investment|are lying|Your Funeral Guy

14 Jun

Funeral Homes selling Preened as an investment are lying.  To prepay a funeral today, “LOCKING IN TODAY’S PRICES FOR YOUR FUNERAL TOMORROW” is a lie. The current economic environment in the world makes that statement a falsehood.  No Investment vehicle can be guaranteed that since the Wall Street Crash of September 2008.

Firstly, Prepaid funerals or(preneed) has always been  a purchase of funeral goods and services.In the past and many times the funds are placed by the funeral home, funeral director or insurance company in a special bank account.

Depending on the pre need Contract and state regulations the funds used to purchase sometimes can be placed in an investment vehicle. The Track record of indivudual funeral homes and others doing this though is not good.

When this has happened there are examples of bad outcomes—the local funeral home in the news, funeral associations(example- IFDA Illinois Funeral Directors Association preneed trust ponzi scheme) and funeral insurance companies(-Example-NPS-National Prearranged Services)

Funeral industry|Funeral News Funeral Blog by Your Funeral Guy

WSJ:Preneed, Prepaid Funeral Regulation Ahead|YourFuneralGuy

22 May

Preneed or Prepaid Funerals go by many names such as  End of life insurance, funeral insurance, preneed, prepaid funerals etc. The National Prearranged Services(NPS) Funeral Scam, the IFDA(Illinois Funreral Directors Association) Preneed Trust Funeral Scam, and Weekly incidents of funeral directors running off   with the folks funeral money has all contributed to this development

Snippet From the WSJ.

It’s among the best-intentioned and—in the eyes of some—worst investments that people make: paying in advance for a funeral.

Now, in the wake of recent allegations of fraud and mismanagement in this multibillion-dollar industry, state and federal lawmakers are trying to crack down on abuses in so-called prepaid funeral plans.

“Consumer advocates have been urging states to enact stricter regulations of prepaid plans for years,” says Sally Hurme, a senior project manager who specializes in consumer education at AARP, the Washington-based advocacy group. “This is a step in the right direction.”

via online.wsj.com

This should shoot an arrow in the heart of those who have  have participated in  preneed irregularities, fraud and scams

Funeral industry|Funeral News|Funeral blog by Your Funeral Guy

Batesville Casket Co. sponsoring Lunch for Corrupt Funeral Directors?|Your Funeral Guy

16 May

The Illinois Funeral Directors Association has appeared to survive to their next  convention in June  2010. The  Convention Brochure gives mention of the IFDA Preneed Trust new Trustee Fiduciary Partners.but not the ponzi scheme lawsuit.There is no mention  in their brochure of the status of the Trust, the lawsuits and the situation with regulators.

Batesville Casket Company seemingly does not care about the corruption charges, pending and the questionable dealings at the IFDA for it is sponsoring the lunch at  the  IFDA convention. Batesville continues to throw money at dying funeral entities like the Illinois Funeral Directors Association to keep itself in business.

In the Illinois Funeral Directors Association scandal over 40 million was lost before the Wall Street Crash of September 2008. The figure on monies lost is now 100 million dollars. Loans to board members were made out of the Good folks of Illinois  Funeral Money(IFDA Pre Need Trust) over the years.

Again at this convention the questionable  former IFDA president and former head of the Museum of Funeral Customs, NFDA (National Funeral Directors Association)treasurer Randal l Earl will be honored at the convention.

Time will tell but it does appear that the Illinois Funeral Directors Association good old boy network may have survived the IFDA Preneed Trust Scam.

Funeral industry\funeral news\funeral blog by your funeral guy

Source: IFDA