Tag Archives: Illinois Funeral Directors Association

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.

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Illinois Preneed Scandal Explodes upon Association-YourFuneralGuy

16 Dec
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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

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

10 Oct
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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

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Funeral Cost, Pre-plan, No Prepay-Your Funeral Guy

20 Sep
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It is best to pre-plan your funeral, wise not to prepay. Preplanning can save your family from difficult decisions when they are emotionally distraught.Preplanning is not difficult, and does not have to take along time. It doses involve some thought.

Prepaying a funeral can be dangerous. Each preneed contract is different. In most cases you cannot get your money back. If you move the Funeral may or may not be transferable to another state. There is  also the risk of the Funeral director taking your money. The Illinois Funeral Directors Preneed trust Ponzi Scam (100 Million gone) and the National Prearranged Services Scam(Estimated 1 billion) gone are prime examples of Preneed gone crazy.

Funeral Cost is gaining attention in the media.

Snippet from CBS:

First, try to preplan. We’re used to shopping around for everything else, but people feel like they need to spend big on funerals as a way to show their love. It’s a good idea to have a family discussion or leave instructions in your will about what you want. That helps determine how much to set aside, and keeps family and friends from spending too much.

Don’t pre-pay. Funeral homes’ pitch to lock in funeral costs by pre-paying while you’re alive may sound appealing, but it’s almost never a smart idea. State regulation controls how much if any of those plans can be refunded, should you move, or if the funeral home goes out of business. Most offer little recourse. It’s better to create a payable-on-death account or a funeral trust through a life insurance company.

via www.cbsnews.com

The preneed pitch to lock in today’s prices now to save on Funeral Cost is simply not true in this economy. No Investment can be guaranteed due to the great recession.

Funeral Industry, Funeral News Funeral Blog by Your Funeral Guy

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California Funeral Homes Scandal-YourFuneralGuy

16 Sep
Black Cooper Sander Funeral Home, Hollister, C...
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It is not the exact same scandal as the Illinois Funeral Directors Association(IFDA) Preneed Trust Scandal. But just as  in Illinois, problems with the California Master Trust and the California Funeral Directors Association relate back to funeral homes and misuse of Preneed Funds.

SACRAMENTO, Calif.—A California agency plans to discipline about 300 funeral homes after finding the state’s second-largest funeral trust misused millions of dollars.Department of Consumer Affairs spokesman Russ Heimerich said Wednesday that funeral homes could be sent a warning letter or have their licenses revoked. The funeral homes all participate in the California Master Trust.

The trust holds money paid in advance by 27,000 individuals for funeral services, cemetery plots and other expenses.

Heimerich says the department will act against homes in coming weeks because the majority of them failed to say how they would correct problems found in a state audit released in July.

via www.mercurynews.com

Just a few more reasons to avoid funeral preneed contracts or Prepaying for a Funeral.

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

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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

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Prepaying a Funeral Causes Stress(Not Relief)-Your Funeral Guy

19 Jul

Many a Funeral Home and Funeral Corporation will tell you that prepaying a funeral will relieve the Stress of a funeral at the time of your death.

The news about preneed of late shows that this does not work.  Often times the Funeral Directors or other preneed professionals simply take your money.The fact that this can occur is additional funeral stress.

This was the case in:

1: the NPS , National Prearranged Services scandal in 2008,2.the Illinois Funeral Directors scandal revealed in 2009.3. The California Funeral Directors Association in 2010

Funeral Preplanning does work. Funeral Prepaying does not. This was conveniently left out of a recent, Dignity Memorial, Service Corporation International, blog post.

If you are finding the stress of planning your loved one’s funeral difficult to deal with, consider funeral pre planning for own funeral. This will allow those who love you to not have to deal with this level of stress and difficulty when you pass on. Talk to the funeral director about planning your own services once you are feeling more relaxed.

via dignitymemorialnc.com

Funeral Industry}Funeral News|Funeral Blog by your funeral Guy

All this is covered further in Rest In Peace Insiders Tips to the Low Cost less Stress Funeral by R.Brian Burkhardt